Consider a Stackelberg Duopoly with the Following Inverse Demand Function

Multiple Choice

Consider a Stackelberg duopoly with the following inverse demand function: P = 100 − 2Q₁ − 2Q₂.The firms' marginal costs are identical and are given by MC_i = 2.Based on this information,the Stackelberg leader's marginal revenue function is:

A) MR(Q_L) = 50 − 2Q_L + c₁/2.
B) MR(Q_L) = 50 − 2Q_L + c₂/2.
C) MR(Q_F) = 100 − 2Q_F + c₁/2.
D) MR(Q_F) = 100 − Q_F + c₂/2.