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Thank you! Consider the following demand schedule for a particular good: Price Quantity $8 0 7 10 6 20 5 30 40 N WA 50

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Consider the following demand schedule for a particular good: Price Quantity $8 0 7 10 6 20 5 30 40 N WA 50 60 70 Assume that both marginal cost and fixed costs are zero for all firms in this industry. Suppose this market was supplied by a single- price monopolist producing at the profit maximizing level of output. If that monopolist were to produce 10 more units of output, its price effect would be . Suppose instead that there are two identical firms in this industry and that these firms were initially colluding with each other in order to maximize their collective profits. If one of the two firms expanded output by 10 units and the other firm continued to produce their initial quantity, the price effect for the firm that expanded output would be O -$40; -$20 O $40; $20 O -$10; $10 O $30; $30 O -$30; -$30

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