Demand and costs are as given in the preceding question.
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Find the limit output for fixed costs ( f) equal to 50, 32, 18, and 2.
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What is the SPNE for the entry game with the following timing: in the first-stage firm 1 can commit to its output; in the second stage firm 2 can enter and choose its output for fixed costs equal to 50, 32, 18, and 2?
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