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Assume a monopolist sells a product with a total cost function equal to = 400 + 2 . The market demand curve for the monopolist's
Assume a monopolist sells a product with a total cost function equal to = 400 + 2. The market demand curve for the monopolist's product is = 500 .
- Find the profit-maximizing output and price for this monopolist.
- Is the monopoly profitable? By how much?
- Calculate the price elasticity of demand at the monopolist's profit-maximizing price.
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The Macro Economy Today
Authors: Bradley R. Schiller, Karen Gebhardt
14th edition
1259291820, 978-1259291821
