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Jackelina's company is a monopoly that faces demand Qd = a - bp, where a and b are positive numbers. The monopolist's marginal revenue function is: MR = a-2bP MR = a/Q-b = MR a/b 2Q/b - MR = a -2bQ

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

Jackelina's company is a monopoly that faces demand Qd = a - bp, where a and b are
positive numbers. The monopolist's marginal revenue function is:
MR = a-2bP
MR = a/Q - b
=
MR a/b - 2Q/b
MR = a -2bQ

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