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Q6 [OPTIONAL] Stackelberg Duopoly There are two firms competing in the market for the same good. The timing of the game is as follows. Firm
Q6 [OPTIONAL] Stackelberg Duopoly There are two firms competing in the market for the same good. The timing of the game is as follows. Firm 1 selects its quantity q, 2 0. Then Firm 2 observes q, and then selects its quantity 92 2 0. The market price is given by P(Q) = 1 - Q where Q = q1 + 92. Both firms have the same constant marginal cost c > 0 for producing the good (0
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