A monopolist is deciding how to allocate output between two geographically separated markets (East Coast and...
A monopolist is deciding how to allocate output between two geographically separated markets (East Coast and Midwest). Demands for the two markets are:
Q1 = 15 - P1
Q2 = 12.5 – 0.5 P2
The monopolist’s total cost is C = 5 + 3(Q1 + 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:
P1 (1+1/ E1 )= P2 (1+1/ E2 ).
(Elasticity: E=(dQ/Q)/(dP/P)=(dQ/dP)(P/Q).)
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A monopolist is deciding how to allocate output between two
geographically separated markets (East Coast and...
A monopolist is deciding how to allocate output between two geographically separated markets (East Coast and...
A monopolist is deciding how to allocate output between two
geographically separated markets (East Coast and Midwest). Demand
and marginal revenue for the two markets are:
What are price, output, profits, marginal revenues, and
deadweight loss if the monopolist can price discriminate? (round
all answers to two decimal places)
P1 20-Q1 MR1 20-2Q1 P2 25-2Q2 MR2 = 25 - 4Q2 The monopolist's total cost is C 5+5 (Q1+Q2) In market 1, the price is $ 12.5 and the quantity is...
Assignment I Name: Due date: Jan.29 ID: 1. (3 points) A monopolist is deciding how to...
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))
A monopolist is deciding on the quantity of output to produce in two different countries. Demand...
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A monopolist is deciding on the quantity of output to produce in two different countries. Demand...
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A monopolist is deciding how to allocate output between two
geographically separated markets (East Coast and Midwest). Demand
and marginal revenue for the two markets are:
What are price, output, profits, marginal revenues, and
deadweight loss if the monopolist can price discriminate? (round
all answers to two decimal places)
P1 20-Q1 MR1 20-2Q1 P2 25-2Q2 MR2 = 25 - 4Q2 The monopolist's total cost is C 5+5 (Q1+Q2) In market 1, the price is $ 12.5 and the quantity is...
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Question 6 (1 point) Consider a monopolist which sells output in two markets, the home market and the foreign market. The monopolist faces a linear demand curve of P1 - 20 - Q1 in the home market and P2 - 40-202 in the foreign market. The monopolists total cost is (Q=1500+q? What prices the monopolist charges in the home and the foreign market respectively? $11. $21. $12, S16 $6. $18 $18,528. none of the above Question 5 (1 point) A...
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