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Exercise 2 The market demand curve in a commodity chemical industry is given by Q = 600-3P where Q is the quantity demanded per month and P is the market price in dollars. Firms in this industry supply quantities every month, and the resulting market price occurs at the point at which the quantity demanded equals the total quantity supplied. Suppose there are two firms in this industry Frml and Firm 2. Each firm has an identical constant marginal cost of $80 per unit. 8.- Suppose that in the described setting, it is observed that from one month to the next Firm 1's quantity goes down, Firm 2's quantity goes up, and the market price goes up. Which of the following changes in the demand and/or cost conditions is consistent with what we observe? Choose the correct statement(s): a) The market demand curve shifted leftwards in a parallel fashion. b) The market demand curve $1thng rightward in a parallel fashion. c) Firm 1's marginal cost went up, while Firm 2's marginal cost stayed the same. d) Firm 2's marginal cost went up, while Firm 1's marginal cost stayed the same. e) All of the above are possible. Economics: Microeconomics RESIT EXAM 2020 9.- Assume now that Firm 1 is the Stackelberg leader, and Firm 2 the Stackelberg follower. Which of the following statement(s) is (are) correct? a) The Stackelberg model of oligopoly is a particular example of a sequential game. b) Graphically, the Stackelberg equilibrium point is to be found on Firm 1's reaction function curve. c) Firm 1's output in the Stackelberg equilibrium is: qf = 180. d) Firm 1's output in the Stackelberg equilibrium is: qf = 150. e) There can be strategic value associated with the ability to be the first mover in the Stackelberg game