Consider the diagram below:a) If a firm is single –price monopolist, what price firm will charge and what is the profit maximizing output? Calculate the area of monopolist’s profit (in tk), consumer surplus (in tk) and deadweight loss (in tk) from the information of the diagram.b) If the firm would work as a perfectly price discriminating monopolist, what amount of output firm would have produced? How firm would have charged price? Calculate the area of consumer surplus (in tk), profit(in tk) and deadweight loss (in tk) from the information of the diagram. Don,t copy from anywhere. Answer must be correct.Do all answer. price/cost260 taka220 taka175 takaMC=ATC55110MRa) If a firm is single -price monopolist, what price firm will charge and what is the profitmaximizing output? Calculate the area of monopolist's profit (in tk), consumer surplus (intk) and deadweight loss (in tk) from the information of the diagram.b) If the firm would work as a perfectly price discriminating monopolist, what amount ofoutput firm would have produced? How firm would have charged price? Calculate thearea of consumer surplus (in tk), profit(in tk) and deadweight loss (in tk) from theinformation of the diagram.

Meaning of Monopolistic Competition: The term monopolistic competition refers to the situation…

price/cost 260 taka 220 taka 175 taka MC=ATC Q 55 110 MR a) If a firm is single –price monopolist, what price firm will charge and what is the profit maximizing output? Calculate the area of monopolist's profit (in tk), consumer surplus (in tk) and deadweight loss (in tk) from the information of the diagram. b) If the firm would work as a perfectly price discriminating monopolist, what amount of output firm would have produced? How firm would have charged price? Calculate the area of consumer surplus (in tk), profit(in tk) and deadweight loss (in tk) from the information of the diagram.

price/cost 260 taka 220 taka 175 taka MC=ATC Q 55 110 MR a) If a firm is single –price monopolist, what price firm will charge and what is the profit maximizing output? Calculate the area of monopolist's profit (in tk), consumer surplus (in tk) and deadweight loss (in tk) from the information of the diagram. b) If the firm would work as a perfectly price discriminating monopolist, what amount of output firm would have produced? How firm would have charged price? Calculate the area of consumer surplus (in tk), profit(in tk) and deadweight loss (in tk) from the information of the diagram.

Survey Of Economics

10th Edition

ISBN:9781337111522

Author:Tucker, Irvin B.

Publisher:Tucker, Irvin B.

Chapter8: Monopoly

Section: Chapter Questions

Problem 7SQP

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