http://www.kenniffonline.com/maximizing-profits-equations/
What’s the joint profit-maximizing prices for the stores.?
2 food stores:
cost of bread=1
cost of cheese=2
equations:
Q1=10 – P1 – 0.5P2
Q2=12 – 0.5P1 – P2
1. wt is the joint profit-maximizing prices for the stores
2. wt’s the diff. between the nash equilibrium prices and the maximize joint profit. Why is joint profit maximization not a nash equilibrium.
100 dollars
Professor Dunn on Profit Maximization for Tired Puppy Brewing Company