Imagine an industry in which the inverse demand function is P = 1000 – 0.5Q, and there is only one firm, a perfectly price discriminating monopoly with a cost function of C = 0.75Q2 + 200Q + 16000. What quantity will the monopolist produce?

Survey Of Economics
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ISBN:9781337111522
Author:Tucker, Irvin B.
Publisher:Tucker, Irvin B.
Chapter8: Monopoly
Section: Chapter Questions
Problem 10SQP
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QUESTION 20
Imagine an industry in which the inverse demand function is P = 1000 – 0.5Q, and there is only one firm, a perfectly price discriminating monopoly with a cost
function of C = 0.75Q2 + 200Q + 16000. What quantity will the monopolist produce?
Transcribed Image Text:QUESTION 20 Imagine an industry in which the inverse demand function is P = 1000 – 0.5Q, and there is only one firm, a perfectly price discriminating monopoly with a cost function of C = 0.75Q2 + 200Q + 16000. What quantity will the monopolist produce?
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