Price Quantity Demanded 10 0 9 15 8 20 7 25 6 30 5 35 4 40 3 45 2 50 1 55 0 60 There are two companies offering satellite radio. The aggregate demand schedule for hours of satellite radio listening is shown above, and it is a zero marginal cost industry. If the two companies form a cartel and split production evenly, how much will each firm produce and what price will they charge? (Hint: The cartel will select a quantity that maximizes its combined profits) options: 40 hours; $6 per hour 15 hours; $6 per hour 15 hours; $3 per hour 12.5 hours; $7 per hour 2. Suppose a perfectly competitive market is suddenly transformed into one that operates as a monopoly market. We would expect: options: price to rise, output to fall, consumer surplus to rise price to rise, output to fall, consumer surplus to fall price to rise, output to rise, consumer surplus to fall price to fall, output to rise, consumer surplus to rise 3. A price discriminating monopolist will adjust prices so that customers with more ___________ demand pay ______ prices than other customers. options: inelastic; lower elastic; lower Elastic: the same Elastic:higher