Question
A discriminating monopolist's home market demand curve is P = 2000 - 10Q and the foreign market demand curve is P = 1600 - 20
A discriminating monopolist's home market demand curve is P = 2000 - 10Q and the foreign market demand curve is P = 1600 - 20 Q, and the firm's marginal cost is a constant $200 per unit
a) Find the discriminating monopolist's price and quantity in each market
b) Find the discriminating monopolist's profit in each market
c) Suppose the foreign country imposes an antidumping tariff. How large is the tariff?
d) What is the discriminating monopolist's profit in the foreign market after the antidumping tariff is applied?
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Econometric Evaluation Of Socio-Economic Programs Theory And Applications
Authors: Giovanni Cerulli
1st Edition
3662464055, 9783662464052
