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You are brought on as a consultant for a classical monopolist with total cost 0 (Y) = Y3 / 3, where Y is quantity. The
You are brought on as a consultant for a classical monopolist with total cost 0 (Y) = Y3 / 3, where Y is quantity. The monopolist is currently selling 3 units at a price of 14 per unit. You estimate that the elasticity of demand is 4. Is the rm maximizing prot? If yes, explain how you know. If no, explain how you know, and whether the rm should increase or decrease price
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