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1 As we noted earlier, Amgen spent around $300 million on R&D costs for Epogen. How would fixed costs affect the optimal quantity produced by
1 As we noted earlier, Amgen spent around $300 million on R&D costs for Epogen. How would fixed costs affect the optimal quantity produced by a monopoly versus a competitive firm? A.0 Fixed costs reduce the optimal quantity and price of the drug for both competitive firms and monopolies. B.0 Fixed costs reduce the optimal quantity and price for a monopolist, but not for a competitive firm. C.) Fixed costs reduce the optimal quantity and price for a competitive firm, but not for a monopolist. D.0 Fixed costs have no effect on the optimal price and quantities produced for either a competitive firm or a monopolist
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