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please refer to image A manufacturer of flash drives has a profit function 7: = t 6a2 where t is the price charged for a

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A manufacturer of flash drives has a profit function 7: = t 6a2 where t is the price charged for a flash drive and q2 is the cost of producing a drive whose capacity is q gigabytes. A consumer of type 0 has a utility function u = 9g t, where 0 takes on a value of 13 for Htype consumers, or 11 for L-type consumers. There are 10 consumers of each type. A consumer gets zero utility if she does not buy. Answer the following. If rounding is needed, round to 3 decimal points. a) (0.25 point) Suppose ({jL, {1) is the optimal (profit maximising) capacity-price bundle for L-type consumer under complete information. What is the value of tL ? b) (0.25 point) Suppose (6H, fH) is the optimal (profit maximising) capacityprice bundle for H-type consumer under complete information. What is the value of tH ? c) (0.5 points) What is the seller's overall profit under complete information? For part d) i), assume information is asymmetric. d) (0.5 point) Suppose that the seller continues to offer the capacity-price bundles that maximises his profit under complete information: that is, he offers (L, tL) and (H, tH). What is the utility for the type 0L consumer from buying the (H, tH) bundle? That is, what is uL(H, tH)

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