[30 points] Suppose that demand is g : 10 p. Firms 1 and 2 compete in this market. Consider the following game. 111 the rst period, both rms simultaneously choose capacities RI and k2. Capacity cost per unit is constant and equal to 1. In the second period, rms compete by simultaneously choosing p1 and p2 with the restriction that the quantities sold cannot exceed the installed capacities, q] <_: and q2 there are no additional production costs in the second period. price competition stage given rst period capacity choices k2 : l i63 determine two rms prots. points part that rm is playing equilibrium strategy would play pure with positive probability explain. suppose limited to those within capacity-constrained case at e r1032 r2 solve for subgame perfect equi- librium kg interpret your results.>