Suppose now that a monopolist owns all the apartments and that he is trying to determine which price and quantity maximize his revenues.
(a) Fill in the box with the maximum price and revenue that the monopolist can make if he rents 1, 2, . . ., 8 apartments. (Assume that he must charge one price for all apartments.)
(b) Which of the people A–F would get apartments?
(c) If the monopolist were required by law to rent exactly 5 apartments, what price would he charge to maximize his revenue?
(d) Who would get apartments?
(e) If this landlord could charge each individual a different price, and he knew the reservation prices of all the individuals, what is the maximum revenue he could make if he rented all 5 apartments?
(f) If 5 apartments were rented, which individuals would get the apartments?