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Consider a monopolist selling to a market made up of ten identical consumers and a market demand curve of Q = 100 - 10P, where
Consider a monopolist selling to a market made up of ten identical consumers and a market demand curve of Q = 100 - 10P, where Q is the total quantity demanded in the market and P is per unit market price. The monopolist has no fixed costs and a constant marginal cost of $2 per unit. The monopolist sells using a two-part tariff. What is the fixed fee F and unit price p?
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