Only one road goes from Hereville to Thereville, and along that road you must cross two toll bridges. The number of travelers from Hereville to Thereville is given by Q = 100 − P where P is the price of travel; that is, P is the sum of the two toll bridges.
a. If one monopolist owns both bridges, how much does he charge to cross?
b. If each bridge is owned by a separate monopolist, how much does each one charge?
c. Is it better for the consumer if the bridges are owned by a single monopolist or by competing monopolists?
d. Would you rather buy your computer operating system and your word processing software from a single monopolist or from competing monopolists? Why?