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Consider a monopoly with marginal cost function given by: MC(Q)=3Q+20. It faces an inverse demand given by: P(Q)=120-Q. Calculate the following: 1. The equilibrium price
Consider a monopoly with marginal cost function given by: MC(Q)=3Q+20.
It faces an inverse demand given by: P(Q)=120-Q. Calculate the following:
1. The equilibrium price and quantity under monopoly
2. The monopoly rents
3. The deadweight loss of the monopoly
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