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Consider a monopolist with constant marginal cost of 10 and a demand given by D(p)=250-5p where p is the monopolist's price. Which of the following
Consider a monopolist with constant marginal cost of 10 and a demand given by
D(p)=250-5p
where p is the monopolist's price.
Which of the following statements is correct?
The monopolist's optimal quantity is 30 and the deadweight loss is 500.
None of the given answers.
The monopolist's optimal quantity is 100 and the deadweight loss is 2000.
The monopolist's optimal quantity is 100 and the deadweight loss is 1000.
The monopolist's optimal quantity is 30 and the deadweight loss is 2000.
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