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Refer to figure 1, where price is given in dollars per unit.Assume that the monopolist can practice perfect price discrimination (i.e. can charge different prices
Refer to figure 1, where price is given in dollars per unit.Assume that the monopolist can practice perfect price discrimination (i.e. can charge different prices according to what consumers are willing to pay) AND has a marginal cost of $80 per unit. What is the lowest price that will be charged for the product in order to maximize profits?
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