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4.3 Consider a Cournot duopoly operating in a market with demand P = 140 - 3Q, where Q = q 1 + q 2 .The

4.3 Consider a Cournot duopoly operating in a market with demand P = 140 - 3Q, where Q = q1 + q2.The marginal cost of operation for each firm equals $20 per unit.Firm one's best-response function equals: q1 = 20 - 0.5q2.How do firms, as modeled by Cournot, use best-response functions to make output decisions?How is price determined in the model?

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