1.) what is the total surplus if the monopolist can perfectly discriminate? 2.) What is the deadweight loss at the monopolist profit maximizing level? 30 28 26 24 22 20 18 16 14 12 АТС 10 8 9. MC MR 0. D. 10 0. 1. 2. 3 4 6. 7. 6. Quantity (unit/day) Price ($/unit) 1429
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- Amonopoly faces the demand curve 14- P= 12-100, 13- 12 where Pis measured in dollars per unit and Q in thousands of units. The monopolist has a constant average cost of $4 00 per unit 114 10 12 1- 6610 12 14 16 16 20 22 24 2 Quantity (thousands) A govemment regulatory agency sets a price celling of 56.00 per unit. What quantity will be produced, and what will the firm's profit be? The monopoly with the price celling will producethousand units of output3. Natural monopoly analysis The following graph gives the demand (D) curve for satellite TV services in the fictional town of Streamship Springs. The graph also shows the marginal revenue (MR) curve, the marginal cost (MC) curve, and the average total cost (ATC) curve for the local satellite TV company, a natural monopolist. On the following graph, use the black point (plus symbol) to indicate the profit-maximizing price and quantity for this natural monopolist. PRICE (Dollars per subscription) 100 90 80 70 60 50 40 30 20 10 0 0 2 4 MR True 10 12 14 QUANTITY (Number of subscriptions) 16 False ATC MC 18 20 D Which of the following statements are true about this natural monopoly? Check all that apply. Monopoly Outcome In order for a monopoly to exist in this case, the government must have intervened and created it. It is more efficient on the cost side for one producer to exist in this market rather than a large number of producers. The satellite TV company must own a scarce resource.…26 $55 $50 $45 I of $40 $35 $30 $25 $20 Demand = P $15 $10 $5 MR $0 40 80 120 160 200 240 Output (Q) The diagram above shows the Demand and Marginal Revenue curves for a monopolist. Which of the following general relationships is NOT demonstrated in the diagram? Select one: a. Price is greater than Marginal Revenue. b. Price equals Demand. c. The Marginal Revenue curve is steeper than the Demand curve. d. Marginal Revenue equals Price at each Output. $$$
- 20 10 MRI 8 10 12 14 16 QUANTITY (Thousands of subscriptions) 18 20 Suppose that the government has decided not to regulate this industry, and the firm is free to maximize profits, without constraints. Complete the first row of the folowing table. Short Run Quantity Price Pricing Mechanism (Subscriptions) (Dollars per subscription) Profit Long-Run Decision Profit Maximization Marginal-Cost Pricing Average-Cost Pricing Suppose that the government forces the monopolist to set the price equal to marginal cost. Complete the second row of the previous table. Suppose that the government forces the monopolist to set the price equal to average total cost. Complete the third row of the previous table. Under average-cost pricing, the government will raise the price of output whenever a firm's costs increase, and lower the price whenever a firm's costs decrease. Over time, under the average-cost pricing policy, what will the local telephone company most likely do? Work to decrease its costs O…3. Natural monopoly analysis The following graph gives the demand (D) curve for 5G LTE services in the fictional town of Streamship Springs. The graph also shows the marginal revenue (MR) curve, the marginal cost (MC) curve, and the average total cost (ATC) curve for the local 5G LTE company, a natural monopolist. On the following graph, use the black point (plus symbol) to indicate the profit-maximizing price and quantity for this natural monopolist. 18 16 2006 ± 14 12 1 PRICE (Dollars per gigabyte of data) ° 00 2 Monopoly Outcome ATC MC D MR 0 + + 0 1 2 3 4 5 6 7 8 9 10 QUANTITY (Gigabytes of data)Price Quantity $10 5 $9 10 16 $8 $7 $6 23 31 $5 45 52 $4 $3 60 A monopolist faces the demand schedule above. If the monopolist faces a constant marginal cost of $6, how much output should the monopolist produce in order to maximize profit? 10 units and it should charge a price of $8 16 units and it should charge a price of $6 16 units and it should charge a price of $8 10 units and it should charge a price of $9
- Quantity of Output Total Cost Product Price 0 $250 $400 1 260 350 2 290 300 3 350 250 4 480 200 5 700 150 If the profit-maximizing pure monopolist whose information is in the accompanying table is able to price discriminate, charging each customer the price associated with each given level of output, how much profit will the firm earn? 300 250 200 150 Note:- Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism. Answer completely. You will get up vote for sure.8. Natural monopoly analysis The following graph shows the demand (D) for gas services in the imaginary town of Utilityburg. The graph also shows the marginal-revenue (MR) curve, the marginal-cost (MC) curve, and the average-total-cost (ATC) curve for the local gas company, a natural monopolist. On the following graph, use the black point (plus symbol) to indicate the profit-maximizing price and quantity for this natural monopolist. PRICE (Dollars per hundred cubic metres) 2 20 18 16 14 12 10 8 MR ATC MC 0 0 1 2 3 4 5 6 7 8 9 10 QUANTITY (Hundreds of cubic metres) D + Monopoly Outcome (? Which of the following statements are true about this natural monopoly? Check all that apply. It is more efficient on the cost side for one producer to exist in this market rather than a large number of producers. The gas company is experiencing economies of scale. The gas company is experiencing diseconomies of scale. The gas company must own a scarce resource. True or False: Without government…New Tab https://assets.open... Home-Oxnard Uni... Please, look at the graph below. What is the profit-maximizing price this monopolist will charge for their newest product? $2,000 Check-In C Sign in to My CLIC... 51.800 $1,600 Dollars $1,400 $1,200 $1,000 5800 $600 $400 $200 50 O $600 O $400 O $800 O $1200 96 5 2.5M 9 * ASMA Quantity 3413 2-3573 MR 2 /мс SOD AC Demand PreCalculus Expe