Question

Assignment I Name: Due date: Jan.29 ID: 1. (3 points) A monopolist is deciding how to allocate output between two geographically separated markets (East Coast and Midwest). Demands for the two markets are: -15-P o,-12.5-05 P The monopolist's total cost is C-5+3Q,Q2). What are the prices, outputs, profits in each market if the monopolist can price discriminate? Check that the profit maximizing price and its elasticity of demand have the following relation between markets: (Elasticity: E (dQ (dP/P) (dQdP P/Q))

Answer 1

오 6 ·ぐ 5.5 tr s 2.9 2.