1. For the following companies/sellers, describe the type of market they exist in and why: price taker, competitive- price searcher, oligopoly, or monopoly. * UCF 2. To reduce reliance on their local water company, the city of St. Augustine has decided to build their own municipal water supply. They must now decide what price to charge consumers. After some careful research, you estimate the following demand curve and marginal revenue curve for water per month: P=76-3Q MR=76-6Q where 0 represents the quantity of water used per month in 1,000 gallons. The marginal costs of water purification and delivery are a flat $4 per 1,000 gallons. The fixed costs of running the water treatment plant come to $200 per month. a. Councilwoman Eliza believes that the city is providing a vital public service, and so should provide water without any deadweight loss. To completely eliminate the deadweight loss, what should the price of watel be? How much water will citizens purchase at that price? Will the city make money, break-even, or lose money at that price? Explain