Suppose the European Union {EU} was investigated and proposed a merger between two ot the largest distillers of premium Scotch liquor. Based on some economists' denition of the relevant market, the two rms proposing to merge enjoyed a combined market share of about twothirds, while another rm essentially controlled the remaining share of the market. Additionally, suppose that the {wholesale} market elasticity of demand for Scotch liquor is 1.4 and that it costs $14.80 to produce and distribute each liter of Scotch. Based only on these data, provide quantitative estimates of the likely pre and postmerger prices in the wholesale market for premium Scotch liquor. Instructions: Do not round intermediate calculations. Enter your nal responses rounded to the nearest penny [two decimal places]- Premerger price: $ Postmerger price: $