Oligopoly Part 2: Collusion, Self-Interest, and the Oligopoly Equilibrium

This video explains the answers to the questions posed at the end of Oligopoly Part 1. It explains the force of self-interest generally outweighs the benefits of collusion. It also introduces the idea of a Nash equilibrium.

00:38 Example: Collusion vs. self-interest questions
02:57 Example: Answers -- AT&T cheats
07:20 Example: Answers -- Both AT&T and Verizon cheat
12:19 Difficult for oligopoly firms to form cartels
12:58 Example 2: Oligopoly equilibrium questions
15:02 Example 2: Oligopoly equilibrium answers
17:35 Nash equilibrium
20:14 Conclusions about oligopolies

~Margaret

[ntashatheomnipresent]

Thank you for the video but I am confused on where the market quantity of 70 came from?