As a profit maximizing monopolist, you face the demand curve Q = α + β P + ε. In the past, you have set the following prices and sold the accompanying quantities: Suppose that your marginal cost is 10. Based on the least squares regression, compute a 95 percent confidence interval for the expected value of the profit maximizing output.

Transcribed Image Text:

3 7 6 10 15 16 13 9 15 9 15 12 18 21 2| 3 17 12 15 15 4 13 11 6 8 10 7 7 7 18 16