g Consider three firms that face market demand P = 101 - Q. The cost functions are c_1 (q_1) = 5q_1^2 for firm 1, c_2 (q_2) = 3q_2^2 for firm 2, and c_3 (q_3) = 3q_3^2 for firm 3. Firm 1 is the Stackelberg leader and firms 2 and 3 are the followers. What is firm 1's equilibrium output q_1^*?
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Home » Business » g Consider three firms that face market demand P = 101 - Q. The cost functions are c_1 (q_1) = 5q_1^2 for firm 1, c_2 (q_2) = 3q_2^2 for firm 2, and c_3 (q_3) = 3q_3^2 for firm 3. Firm 1 is the Stackelberg leader and firms 2 and 3 are the followers.