Question: The market demand curve for a certain product is given by Q(p) = 120 - p, where p is the market price and Q denotes the quantity purchased by the consumers. Suppose that the product is produced with a single factor of production called labor, denoted by L. Assume that each firm i can hire any amount of labor at a fixed given wage rate, denoted by ω > 0. The production function of each firm i is given by q_i = √L_i, where Li is the amount of labor employed by firm i.

Now, suppose that there are two firms, whose output levels are denoted by q₁ and q₂. Solve for the competitive equilibrium price and quantities produced by each firm.