A homogeneous good duopoly faces an inverse market demand, P = 156 - 2Q. The two firms have output levels q1 and q2. Note that Q = q1 + q2. Both firms have a constant marginal cost of production equal to $12. Calculate the Cournot equilibrium price and quantities. As part of your answer, be sure to show the key profit-maximizing conditions for each firm.

Would consumers enjoy higher surplus if the firms competed as Bertrand rivals rather than as Cournot rivals?

if suppose firm 1 could move first as stackleberg leader instead of playing as a cournot model competitor. what would be the new equilibrium price and quantities? what is the key profit maximising conditions for each firm