Assume a monopolist faces the demand schedule given below and a constant marginal cost of $2 for each unit of output. Fill in the total and marginal revenue amounts in the table. Part 2 To maximize profits, this monopolist would produce_______ units of output at a price of $ ________ per unit.

EBK HEALTH ECONOMICS AND POLICY
7th Edition
ISBN:9781337668279
Author:Henderson
Publisher:Henderson
Chapter12: Medicare
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Assume a monopolist faces the demand schedule given below and a constant marginal cost of $2 for each unit of output. Fill in the total and marginal revenue amounts in the table. Part 2 To maximize profits, this monopolist would produce_______ units of output at a price of $ ________ per unit.
Price
15
12
7
+
2
0
1
2
3
Quantity
demanded
Total revenue
Marginal
revenue
Transcribed Image Text:Price 15 12 7 + 2 0 1 2 3 Quantity demanded Total revenue Marginal revenue
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