Consider a monopolistic firm selling the same product in two completely separate markets (market 1 and market 2) with the following demand schedules:

Quantity (Q1)	0	1	2	3	4	5	6	7	8
Price (P1)	48	42	36	30	24	18	12	6	0
Quantity (Q2)	0	1	2	3	4	5	6	7	8
Price (P2)	80	70	60	50	40	30	20	10	0

a)The marginal cost of this firm is equal to its average total cost and is constant at $30 per unit produced (note that this also means that there are no fixed costs). Based on this information use excel to calculate marginal revenues and set up diagrams that show the demand and the marginal revenue curves of this firm in each market, as well as the quantities and prices it should charge in these markets in order to maximize overall profits..

b)Based on your diagrams and calculations, what is the nature of price discrimination by Monopolies.

c)Using the combined profit from the two markets as a part of your answer, why should the firm charge different prices in the two markets in order to maximize total profit.

d) Give examples of specific price discrimination that is common by sellers with market power.