Hand written solutions are strictly prohibited Suppose that identical duopoly firms have constant marginal costs of $10 per unit. Firm 1 faces a demand function of01 = 70 - 2p1 + 1p2,where q₁ is Firm 1's output, p₁ is Firm 1's price, and p2 is Firm 2's price. Similarly, the demand Firm 2 faces is92 = 70-)-2p2+1p1.Solve for the Bertrand equilibrium.In equilibrium, p₁ equals $ and 1 P2 equals $. (Enter numeric responses using integers.)

The Bertrand model of oligopoly is a non-collusive oligopoly model that has two or more firms…

Suppose that identical duopoly firms have constant marginal costs of $10 per unit. Firm 1 faces a demand function of 9₁ =70-2p₁ + 1P2, where 91 is Firm 1's output, p₁ is Firm 1's price, and p2 is Firm 2's price. Similarly, the demand Firm 2 faces is 92 z =70 − 2p2 +1P1. Solve for the Bertrand equilibrium. In equilibrium, p₁ equals $ and P2 equals $ (Enter numeric responses using integers.)