12.2 Oligopoly Nash equilibrium-Set of strategies or actions in which each firm does the best it can given its competitors'actions. Duopoly-Market in which two firms compete with each other. Cournot model-Oligopoly model in which firms produce a homogeneous good,each firm treats the output of its competitors as fixed,and all firms decide simultaneously how much to produce. 12.2 Oligopoly  Nash equilibrium - Set of strategies or actions in which each firm does the best it can given its competitors’ actions.  Duopoly - Market in which two firms compete with each other.  Cournot model - Oligopoly model in which firms produce a homogeneous good, each firm treats the output of its competitors as fixed, and all firms decide simultaneously how much to produce