Problem 3 [Bundling] Consider a monopolist selling two goods, A and B. Consumers' valuation of good A is uniformly distributed on the unit line, that is, BA ~ U [0, 1], and valuation for good B is positively correlated with good A as follows: 9%: 1/4+ 1/2 96', so that BE ~ U[ 1/4, 3/4]. A.y Find out the monopolist's profits if goods A and B are sold separately. B. Find out the monopolist's profits if only the pure bundle AB is sold. C. Does the monopolist obtain larger profits from separate selling than u... .-- I... ..__II:.. .15 |-. __|_2,A