[Q: 11-2953006] Suppose the cost curve of the local electric company is TC = 186 + 5Q and the demand for electricity is estimated to be P(Q) = 93- 2Q. If left unregulated, what is the profit-maximizing quantity and price for this natural monopolist? Enter your answers rounded to two decimal places (E.g., 15.53). Unregulated profit-maximizing quantity: (Round your answer to two decimal places and use in subsequent calculations). Unreguated profit-maximizing price: (Round your answer to two decimal places and use in subsequent calculations). What is the deadweight loss? S (Round your answer to two decimal places; Hint: be careful not to round the competitive quantity). Given that this firm is a natural monopoly, the firm's profits at the competitive equilibrium must be: O A. Positive B. Equal to zero O C. Negative Suppose that the public utilities commission (PUC) uses a price ceiling to minimize the deadweight loss in this market. Calculate the price they would choose. Regulatory price: (Round your answer to two decimal places).
[Q: 11-2953006] Suppose the cost curve of the local electric company is TC = 186 + 5Q and the demand for electricity is estimated to be P(Q) = 93- 2Q. If left unregulated, what is the profit-maximizing quantity and price for this natural monopolist? Enter your answers rounded to two decimal places (E.g., 15.53). Unregulated profit-maximizing quantity: (Round your answer to two decimal places and use in subsequent calculations). Unreguated profit-maximizing price: (Round your answer to two decimal places and use in subsequent calculations). What is the deadweight loss? S (Round your answer to two decimal places; Hint: be careful not to round the competitive quantity). Given that this firm is a natural monopoly, the firm's profits at the competitive equilibrium must be: O A. Positive B. Equal to zero O C. Negative Suppose that the public utilities commission (PUC) uses a price ceiling to minimize the deadweight loss in this market. Calculate the price they would choose. Regulatory price: (Round your answer to two decimal places).
Micro Economics For Today
10th Edition
ISBN:9781337613064
Author:Tucker, Irvin B.
Publisher:Tucker, Irvin B.
Chapter13: Antitrust And Regulation
Section: Chapter Questions
Problem 10SQP
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