A monopoly sells to n1 consumers in Country 1 and n2 in Country 2, where each person in Country 1 has a constant elasticity demand function of q1 = pε1and every person in Country 2 has a demand function of q2 = pε2. Thus, the country demand functions are Q1 = n1pε1 and Q2 = n2pε2.

Output can be manufactured at constant marginal cost m. What prices does the monopoly charge in the two countries if it can group price discriminate?

If the monopoly cannot price discriminate, what price does it charge?