6. Price-discriminating firm Eileen owns a plot of land in the desert that isn't worth much. One day, a giant meteor falls on her property. The event attracts scientists and tourists, and Eileen decides to sell nontransferable admission tickets to the meteor crater to both types of visitors: scientists (Market A) and tourists (Market B). The following graphs show demand (D) curves and marginal revenue (MR) curves for the two markets. Eileen's marginal cost of providing admission tickets is zero. ? ? Market A Market B 10 MR + 1 2 3 4 5 6 7 8 9 QUANTITY (Admission tickets per day) PRICE (Dollars per ticket) 0 0 0₂ 10 10 PRICE (Dollars per ticket) N MR D 0 1 2 3 4 5 6 7 8 9 10 QUANTITY (Admission tickets per day)

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Eileen owns a plot of land in the desert that isn't worth much. One day, a giant meteor falls on her property. The event attracts scientists and tourists,
and Eileen decides to sell nontransferable admission tickets to the meteor crater to both types of visitors: scientists (Market A) and tourists (Market
B). The following graphs show demand (D) curves and marginal revenue (MR) curves for the two markets. Eileen's marginal cost of providing
admission tickets is zero.
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(?
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?
Market A
Market B
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10
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Economics
? Help
Give Feedback
A
Type here to search
Homework (Ch 10)
PRICE (Dollars per ticket)
2
0
0
D
A
MR
LA
+
9
1 2 3 4 5 6 7 8
10
QUANTITY (Admission tickets per day)
5:
PRICE (Dollars per ticket)
10
8
0
+
0
MR. D
B
+
1 2 3 34 5 6 7 8 9 10
QUANTITY (Admission tickets per day)
48°F Clear
0
Q Search this course
X
x
K :
?
1:31 AM
6/13/2022
A-Z
O
N
w
bongo
A+
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Transcribed Image Text:N Course: EC 201 Microeconomic P X MindTap - Cengage Learning X MindTap - Cengage Learning Success Confirmation of Question X + ← с ✰ng.cengage.com/static/nb/ui/evo/index.html?deploymentId=56960519240215212983351261543&eISBN=9781305648173&snapshotld=2941604&id=148882... Q Kathryn ✓ « CENGAGE MINDTAP My Home Courses 6. Price-discriminating firm Catalog and Study Tools Eileen owns a plot of land in the desert that isn't worth much. One day, a giant meteor falls on her property. The event attracts scientists and tourists, and Eileen decides to sell nontransferable admission tickets to the meteor crater to both types of visitors: scientists (Market A) and tourists (Market B). The following graphs show demand (D) curves and marginal revenue (MR) curves for the two markets. Eileen's marginal cost of providing admission tickets is zero. Rental Options College Success Tips Career Success Tips (? RECOMMENDED FOR YOU ? Market A Market B Study Tools 10 Study Tools for Principles of Economics ? Help Give Feedback A Type here to search Homework (Ch 10) PRICE (Dollars per ticket) 2 0 0 D A MR LA + 9 1 2 3 4 5 6 7 8 10 QUANTITY (Admission tickets per day) 5: PRICE (Dollars per ticket) 10 8 0 + 0 MR. D B + 1 2 3 34 5 6 7 8 9 10 QUANTITY (Admission tickets per day) 48°F Clear 0 Q Search this course X x K : ? 1:31 AM 6/13/2022 A-Z O N w bongo A+ ||| ()
N Course: EC 201 Microeconomic P X
MindTap - Cengage Learning X
MindTap - Cengage Learning
Success Confirmation of Question X
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с ✰ng.cengage.com/static/nb/ui/evo/index.html?deploymentId=56960519240215212983351261543&eISBN=9781305648173&snapshotld=2941604&id=148882... Q
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5 6 7 8 9 10
1 2 3
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MIKS B
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QUANTITY (Admission tickets per day)
1
5 6 7 8 9 10
QUANTITY (Admission tickets per day)
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Suppose that at first, Eileen charges the same price of $4 per admission in both markets so that the total number of admissions demanded is
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per
Suppose now that Eileen decides to charge a different price in each market. To maximize revenue, Eileen should charge $
admission in Market A and S
per admission in Market B. At these prices, she will sell a total quantity of
admission
tickets per day.
Study Tools
Study Tools for Principles of
Economics
Complete the following table by calculating Eileen's total revenue from selling in both markets under the nondiscriminatory as well as the
discriminatory price policy.
Total Revenue
? Help
Price Policy
Nondiscriminatory
Discriminatory
$
Give Feedback
S
Eileen charges a lower price in the market with a relatively price elasticity of demand.
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발
A
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Homework (Ch 10)
0 +
0
C
0
48°F Clear
(1
Q Search this course
X
x
K :
?
1:31 AM
6/13/2022
S
A-Z
O
L
w
bongo
A
()
Transcribed Image Text:N Course: EC 201 Microeconomic P X MindTap - Cengage Learning X MindTap - Cengage Learning Success Confirmation of Question X + ← с ✰ng.cengage.com/static/nb/ui/evo/index.html?deploymentId=56960519240215212983351261543&eISBN=9781305648173&snapshotld=2941604&id=148882... Q Kathryn ✓ « CENGAGE MINDTAP My Home MIK + + I + Courses + + + 5 6 7 8 9 10 1 2 3 0 MIKS B 2 3 QUANTITY (Admission tickets per day) 1 5 6 7 8 9 10 QUANTITY (Admission tickets per day) Catalog and Study Tools Rental Options College Success Tips Suppose that at first, Eileen charges the same price of $4 per admission in both markets so that the total number of admissions demanded is Career Success Tips RECOMMENDED FOR YOU per Suppose now that Eileen decides to charge a different price in each market. To maximize revenue, Eileen should charge $ admission in Market A and S per admission in Market B. At these prices, she will sell a total quantity of admission tickets per day. Study Tools Study Tools for Principles of Economics Complete the following table by calculating Eileen's total revenue from selling in both markets under the nondiscriminatory as well as the discriminatory price policy. Total Revenue ? Help Price Policy Nondiscriminatory Discriminatory $ Give Feedback S Eileen charges a lower price in the market with a relatively price elasticity of demand. Grade It Now Save & Continue Continue without saving 발 A Type here to search Homework (Ch 10) 0 + 0 C 0 48°F Clear (1 Q Search this course X x K : ? 1:31 AM 6/13/2022 S A-Z O L w bongo A ()
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