Question 12 (30 marks) The market demand for a good is given as Q = 200 - p. There are two firms in the industry, A and B. Marginal costs are given as: MCA(qA) = MC(q8) = 20, where qa and qn refer to output of A and B, respectively. There are no fixed costs of production. (a) Find the industry price and output sold at the Bertrand Nash equilibrium. (5 marks) (b) Find the industry price and output sold at the Cournot Nash cquilibrium. (7 marks) (c) Now suppose the industry is a monopoly. Find the profit maximising price and output that the monopoly will charge and produce, respectively. (5 marks) (d) Now suppose the industry is perfectly competitive. Find the equilibrium industry output and price. (5 marks) (e) Compare and comment on the welfare losses under the different industry structures. (8 marks)