not use ai please Legoland is trying to decide what price to charge for entry tickets. It knows that the maximum amount elderly peoplewould be willing to pay for a ticket is $12. At that price, there would be 1,000 tickets sold. There are also 5,000 parentsand kids who would be willing to pay $25 for a ticket. If Legoland cannot price discriminate, it charges a price ofand earnin revenue. If Legoland is able toperfectly price discriminate, it will increase its revenue by$12; $72,000; $137,000$25; $125,000; $12,000$25; $125,000; $137,000$12; $72,000; $12,000

No Price Discrimination:Legoland must choose a single price for all tickets.If it charges $12 per…

Answered: Legoland is trying to decide what price…

Principles of Economics 2e

2nd Edition

ISBN:9781947172364

Author:Steven A. Greenlaw; David Shapiro

Publisher:Steven A. Greenlaw; David Shapiro

Chapter11: Monopoly And Antitrust Policy

Section: Chapter Questions

Problem 7SCQ: From the graph you drew to answer Exercise 11.6, would you say this transit system is a natural...

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From the graph you drew to answer Exercise 11.6, would you say this transit system is a natural monopoly? Justify. Use the following information to answer the next three questions. In the years before wireless phones, when telephone technology requited having a wile matting to every home, it seemed plausible that telephone service had diminishing average costs and might require regulation like a natural monopoly. For most of the twentieth century, the national U.S. phone company was AT&T, and the company functioned as a regulated monopoly. Think about the deregulation of the U.S. telecommunications industry that has occurred over the last few decades. (This is not a research assignment, but a thought assignment based on what you have learned in this chapter.)
Do not use chatgpt.
E4 How much extra profit does the monopolist earn when he increases the price from $12 to $18
B MH Connect - Chapter 12 Hom X O Connect y! Suppose a monopolist's profit X + ducation.com/ext/map/index.html?_con=con&external_brows&=0&launchUrl=https%253A%252F%252Flms.mheducation.com%252Fmghmiddlewa Help Chapter 12 Homework i Saved Suppose a monopolist's profit-maximizing output is 500 units per week and that the firm sells its output at a price of $80 per unit. The firm has total costs of $6,000 per week. Assume the monopolist is maximizing its profit and earns $35 per unit from the sale of the last unit produced each week. Instructions: Enter your answers as a whole number. a. What are the firm's weekly economic profits? $ b. What is the firm's marginal cost? %24 c. What is the firm's average total cost? 2$
4:21 lLTE Work IU-12 10. "Market power" refers to a firm's ability to: 11. If a firm collects $80 in revenue when it sells 4 units, $100 in revenue when it sells 5 units, and $120 in revenue when it sells 6 units, then one can infer the firm is a(n): 12. Suppose the figure below shows the demand curve, marginal revenue curve and marginal cost curve for a monopolist A МС к Е MR D 0 Н F G Quantity (units/day) When this monopolist maximizes its profit, consumer surplus equals the area: Price ($/unit)
Many schemes for price discrintination involve somecosL For example, discount coupons take up the timeand resources of both the buyer and the seller. Thisquestion considers the implications of costly pricediscrimination. To keep things simple, let's assumethat our monopolist's production costs arc simplyproportional to output so that average total cost andmarginal cost arc constant and equal to each other.CHAPTER 15 MONOPOLY 317a. Draw the cost., demand, and marginal-revenuecurves for the monopolist. Show the pricethe monopolist would charge without pricediscrimination.b. ln your diagram, mark the area equal to the mernopolist's prolit and call it X. Mark the area equalto consumer surplus and call it Y. Mark the areaequal to the deadweight loss and call it Z.c. Now suppose that the monopolist can perfectlyprice discriminate. What is the monopolist'sprofit? (Give your answer in terms of X, Y, and Z.)d. What is the change in the monopolist's prolit fromprice discrimination? What is the…
5
Suppose that a monopolist sells a product to men and women. If the firm sets a single price, the monopolist would produce 100000 units and sell them at a price of $5.00 per unit. Suppose that at that price, the price elasticity of demand for men is -0.75 and the price elasticity of demand for women is -2.50. The monopolist is considering whether he should set discriminatory prices and asks for you're advice. Part 1 Suppose the monopolist is thinking about charging men a %10 higher price. If the monopolist does so, the quantity demanded by men would fall by _______% (give answer to one decimal) Part 2. Suppose the monopolist is thinking about charging women a 10% higher price. If the monopolist does so, the quantity demanded by women would fall by ________% (give answer to one decimal)
1 Imagine an incumbent monopolist is currently earning a profit of $100 million. Suddenly, theincumbent faces an entry threat and is considering whether or not to limit price. If the incumbent allows theentrant to come into the market it will see its profit decline to $50 million. In the case of effectively impededentry, the profit earned by the incumbent if it decides to limit price will be:A. greater than $100 million.B. greater than $50 million but less than $100 million.C. less than $50 million.D. either B or C.
Briefly mention what is the social discount rate?
Suppose a monopolist sells a product to faculty members and students on the campus. If the firm sets a single price, the monopolist produces 5000 units and sell them at the price of $3 per unit. At this price, the price elasticity of demand for faculty member is -2.5. And the price elasticity of demand for students is -1.5. The monopolist is considering whether she should set different prices for the faculty members and students and asks for your advice. The monopolist is thinking about charging faculty members a 10% higher price. The quantity demanded by the faculty members would fall by %. The monopolist is thinking about charging students a 10% higher price. The quantity demanded by the students would fall by %. Who should the monopolist charge more? mention faculty and students and how much
Graph shows the cost and revenue Information for Shitotsu the monopolist. What are the levels of price, output, total (sales) revenue, and total profits if the monopolist were to produce at the positions (a) through (d) indicated in table below? Costs and revenues 40 36 32 28 24 20 16 12 8 4 0 5 10 15 20 25 30 35 Quantity per period a. Total revenue maximization b. Profit-maximization c. Socially optimum price d. Fair-return price MR D=AR MC AC Price ($) 16 G 15 141 Output 20 20 22.5 Total Revenue ($) 320 300 315 Total Profits ($) 120 180

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