Part 2: Solve both problems. Do the problems in the order given. 1. A monopolist faces a market split evenly between high valuation consumers with inverse demand PH = 20 - yH and low valuation consumers with inverse demand PL = 16 -2yL For convenience, suppose the firm has a marginal cost equal to zero. Moreover, arbitrage is not possible (a) Assume that the firm cannot observe group status (i.e., cannot identify if a customer has a high or low valuation). Determine the firm's best second-degree pricing scheme. Show this outcome on a graph. For the optimal pricing scheme in the second-degree discrimination, the firm should offer a such that 16 - 2x = (20 - 20' )