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intermediate economics Refer to the gure to the right. Suppose that the marginal cmts e.I and [:2 were zero. Show that in this case' pure

intermediate economics

image text in transcribed Refer to the gure to the right. Suppose that the marginal cmts e.I and [:2 were zero. Show that in this case' pure bundling' not mixed bundling. is the most protable pricing strategy. For simplicity assume there are no xed costs. r2 What price should be charged for the bundle? {round answers (0 the nearesf penny) The bundle price is 55 What will the rm's prot be? The prot with pure bundling is $ The prot with mixed bundling is E 'i 'i I I l' 50 SD 70 30 90 1 DO r1

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