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Course: Microeconomics - Discriminating Monopoly Consider a firm that owns a patent on technology that makes concrete production less harmful to the environment (resulting in

Course: Microeconomics - Discriminating Monopoly Consider a firm that owns a patent on technology that makes concrete production less harmful to the environment (resulting in a monopoly on this technology). The firm owns 2 plants: one domestic (D) and one located in Australia (A). The demand for its technology is p(Q) = 250 - 10 Q, where Q = qD + qA is the aggregate output. The domestic plant has total cost CTD = 5 + 10qD + 4(qD)2 and the Australian plant has total cost CTA = 15 + 4qA + 5(qA)2. Find the optimal output at each plant and the price it will charge.

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