please help with the two questions QUESTION 13What is the deadweight loss, if Facebook acts as a single-pricemonopolist?QUESTION 14In reality, Facebook charges different companies differentamounts for ad campaigns, often systematically lowering the priceof the ad campaign until the firm purchases. If Facebook is able toperfectly price discriminate, how many ad campaigns will it sell? Facebook is the biggest seller of advertising space in the socialmedia market (Instagram is also a major seller, but it is owned byFacebook). Assume that Facebook is a monopolist and isillustrated by the graph below.Use the below graph for #9 - 16.P ($)1817161514|1, 14.0131211107ATC34, 1.44|16, 1.8D331, 1.417, 1.82MC1567 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34Q (millions)-1 0 1 2 3-215, 1.9MR-3What is the quantity of ads that Facebook sells?

Perfect Price discrimination, is the highest level of price discrimination in which each unit of…

QUESTION 13 What is the deadweight loss, if Facebook acts as a single-price monopolist? QUESTION 14 In reality, Facebook charges different companies different amounts for ad campaigns, often systematically lowering the price of the ad campaign until the firm purchases. If Facebook is able to perfectly price discriminate, how many ad campaigns will it sell?

QUESTION 13 What is the deadweight loss, if Facebook acts as a single-price monopolist? QUESTION 14 In reality, Facebook charges different companies different amounts for ad campaigns, often systematically lowering the price of the ad campaign until the firm purchases. If Facebook is able to perfectly price discriminate, how many ad campaigns will it sell?

Microeconomic Theory

12th Edition

ISBN:9781337517942

Author:NICHOLSON

Publisher:NICHOLSON

Chapter18: Asymmetric Information

Section: Chapter Questions

Problem 18.3P

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The editorial Harper modern classics holds the rights to One Hundred Years of Solitude by Gabriel Garcia Marquez. The editorial sells the book both in the US and Colombia. The demand for the book in the US is given by Pus = 36 - 4Qus The demand for the book in Colombia is given by: = 24 - 42col . If MC-4 and Harper cannot price discriminate, who many units should Harper produce in the Colombian market to maximize profit? 0.75 1.75 2.75 3.75 P col 4.75
Qus 5
So, why do firms practice third-degree price discrimination? a) firms get pressure to offer lower prices to some consumer types- like children or senior citizens. b) Firms can earn greater profits practicing third-degree price discrimination compared to charging a single price per ticket. I need help figuring out if the answer is a or b.
Please read the following article from The Atlantic on the proliferation of price discrimination for online shopping https://goo.gl/EGFynW A.) The article notes that we are moving toward a situation in which perfect price discrimination is no longer “only a classroom thought experiment.” Suppose perfect price discrimination were to become a reality. What would this imply as far as consumer surplus, producer surplus, and market surplus in the market for online retail? B.) The article references a study showing that by using big data online firms are able to boost profits. When firms engage in price discrimination and experience an increase in profits, does this imply that consumers are made worse off as a result? Explain. C.) Do you agree with the author’s belief that the proliferation of price discrimination “makes suckers of us all”? Explain. D.) Do you consider the increased price discrimination in recent years as a net positive or a net negative to society? Explain
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