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The residents of Flint, Michigan, consume clean water according to the demand function Dp 1000 p, where p is a price of a bottle of
The residents of Flint, Michigan, consume clean water according to the demand function Dp 1000 p, where p is a price of a bottle of clean water and Dp is the number of bottles per year. The only distributor of the clean water in Flint is Clean Water Inc., which purchases water from H 2 O Ltd. at c dollars per bottle. The company H 2 O Ltd. is the only supplier of clean water in the area and acts as a profit-maximizing monopolist. Assume that the cost of production of clean water for H 2 O Ltd. is zero
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