Assume that there are two teams who are competing for talent. Each team is a monopoly in the product the demand curve given by: P(Q) = 100 Q

The production function for team i is given by: Q(j) = j where j is the amount of talent that they hire. The aggregate supply curve for talent is:

w(L) = 20 + L where L is the total amount of talent hired by the two team: L = j1 + j2

a What is the equilibrium amount of labor for each team?

b What is the equilibrium wage?

c What is the surplus (profit) for each team?