1. We have discussed that multi-plant monopolist and cartel that acts like a monopoly. Assume that monopolist is operating with two plants. Can you superimpose the equilibrium price and quantity determination of a Multiplant case into cartel with two firms? Draw a figure in support of your answer.
2. The more Spielberg's movies I see, the more I like them". How does the MRS between all other goods and Spielberg Movies changes as the consumption of Spielberg's movie increases?
3. A major product of steel faces a kinked demand curve . the demand function for price increases and decreases for the company are given respectively as P1=50-2Q1 and P2=40-Q2. The total cost function of the firm is TC=Q^2-2Q+550. Determine the price and output at the kink. What are the upper and lower limits of the MR curve? Prove that MC falls in the MR gap?