a) Suppose demand for a good was given as: P = 220 - 0.25Q and the marginal cost of producing the good was MC = 20. What price and output would result under pure monopoly? b) Referring to a): If marginal cost increased to MC = 30, what happens to price and output? b) True or False and Explain: If a pure monopolist makes excess economic profit in the short run they will sustain it in the long run.

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