Which of the following is true of two firms in a duopoly market that are in a Nash equilibrium? Both firms are producing at a level that maximizes profits Both firms are producing at a level that minimizes average total costs Both firms are receiving the maximum payoff available in their payoff matrix Together the firms have chosen a level of supply equal to the level of aggregate demand Neither firm has an incentive to deviate from its strategy

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Which of the following is true of two firms in a duopoly market that are in a Nash equilibrium?

Both firms are producing at a level that maximizes profits
Both firms are producing at a level that minimizes average total costs
Both firms are receiving the maximum payoff available in their payoff matrix
Together the firms have chosen a level of supply equal to the level of aggregate demand
Neither firm has an incentive to deviate from its strategy

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