Question: Question # 1 0 : Consider a Leader - Follower duopoly, the firms face an ( inverse ) demand function: P b = 1 0

Question #10: Consider a Leader-Follower duopoly, the firms face an (inverse) demand function: Pb=109-5 Qb.
The marginal cost for firm 1(The Leader) is given by mcl=3Q. The marginal cost for firm 2(The Follower) is given by mc2=7Q.
(Assume firm 1 has a fixed cost of $61 and firm 2 has a fixed cost of $118.) How much of the total industry output is produced by firm 1?
Hints 7.65
Question # 1 0 : Consider a Leader - Follower

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