Suppose a perfectly discriminating monopolist faces market demand P = 100 - 10Q and has constant marginal
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Suppose a perfectly discriminating monopolist faces market demand P = 100 - 10Q and has constant marginal cost MC = 20 (with no fixed costs). How much does the monopolist sell? How much profit does the monopolist earn? What is the maximum per-period license fee the government could charge the firm and have the firm still stay in business?
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