Instructions

You have been randomly and anonymously paired with another participant. Each of you will represent a firm. Both firms manufacture the same product.

The two of you decide simultaneously and independently how many units to manufacture. Your choices can be any number from 0 to 30. All produced units will be sold, but the more is produced, the lower the unit selling price will be.

The unit selling price is:

Unit selling price = 60 – Units produced by your firm – Units produced by the other firm

Your profit is therefore:

Your profit = Unit selling price × Units produced by your firm

For your convenience, these instructions will remain available to you on all subsequent screens of this study.