8. Revenue Suppose that the demand function for a monopolist's product is of the form g = Ae Bp for positive constants A and B. In terms of A and B, find the value of p for which maximum revenue is obtained. Can you explain why your answer does not depend on A?

Algebra & Trigonometry with Analytic Geometry
13th Edition
ISBN:9781133382119
Author:Swokowski
Publisher:Swokowski
Chapter2: Equations And Inequalities
Section2.6: Inequalities
Problem 88E
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8. Revenue Suppose that the demand function for a
monopolist's product is of the form
for positive constants A and B. In terms of A and B, find the value
of p for which maximum revenue is obtained. Can you explain
why your answer does not depend on A?
Transcribed Image Text:8. Revenue Suppose that the demand function for a monopolist's product is of the form for positive constants A and B. In terms of A and B, find the value of p for which maximum revenue is obtained. Can you explain why your answer does not depend on A?
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