As the manager of a monopoly, you face potential government regulation. Your inverse demand isP= 55 - 1Q,and your costs areC(Q) = 17Q.

a. Determine the monopoly price and output.

Monopoly price: $

Monopoly output:units

b. Determine the socially efficient price and output.

Socially efficient price: $

Socially efficient output:units

c. What is the maximum amount your firm should be willing to spend on lobbying efforts to prevent the price from being regulated at the socially optimal level?

$