Place the grey point (star symbol) in the appropriate location on the graph to indicate the monopoly outcome such that the dashed lines reveal the profit-maximizing price and quantity of a single-price monopolist. Then, use the green rectangle (triangle symbols) to show the profits earned by the monopolist. PRICE (Dollars per dose) 10 9 8 2 1 0 0 4 MR MC = ATC 28 8 12 16 20 24 32 QUANTITY (Millions of doses per year) Demand 36 40 Monopoly Outcome Monopoly Profits ? Suppose that should the patent on this particular drug expire, the market would become perfectly competitive, with new firms immediately entering the market with essentially identical products. Further suppose that in this case the original firm will hire lobbyists and make donations to several key politicians to extend its patent for one more year. The firm is prepared to spend up to $ million to extend its patent.

2. In the following table are demand and cost data for a pure monopolist. Complete the table by filling in the columns for total revenue, marginal revenue, and marginal cost. Answer these three questions: (a) What output will the monopolist produce? (b) What price will the monopolist charge? (c) What total profit will the monopolist receive at the profit-maximizing level of output? Quantity Price revenue 0 1 2 3 4 5 6 O 9 10 $34 $ 32 30 28 26 24 22 20 18 16 14 Total Marginal Total revenue cost มี $ 20 36 46 50 54 56 64 80 100 128 160 Marginal cost $

I'm not sure if I am doing this correctly, also not sure where the profit and loss go on the graphs.

3 You are the manager of a monopoly. Your analytics department estimates that a typical consumer’s inverse demand function for your firm’s product is P = 350 −20Q, and your cost function is C(Q) = 70Q. a. Determine the optimal two-part pricing strategy. Per-unit fee: $ 70 Fixed fee: $ b. How much additional profit do you earn using a two-part pricing strategy compared with charging this consumer a per-unit price? $

8. Natural monopoly analysis The following graph shows the demand (D) for gas services in the imaginary town of Utilityburg. The graph also shows the marginal revenue (MR) curve, the marginal cost (MC) curve, and the average total cost (ATC) curve for the local gas company, a natural monopolist. On the following graph, use the black point (plus symbol) to indicate the profit-maximizing price and quantity for this natural monopolist. PRICE (Dollars per hundred cubic feet) 20 18 16 14 0 0 1 2 3 5 6 7 8 QUANTITY (Hundreds of cubic feet) MR 4 ATC MC 9 10 D Monopoly Outcome (? Which of the following statements are true about this natural monopoly? Check all that apply. In order for a monopoly to exist in this case, the government must have intervened and created it.

Please refer to th graph attached. The graph shows the Demand, Marginal Revenue, Average Total Cost, Average variable Costs and Marginal Cost curves for a monopolist. (a) What is the profit maximizing/ loss minimizing quantity of output and what is the maximum price the monopolist can charge? (b) Is this monopolist making economic profit or economic loss? How do you know? Explain please. (c) Calculate the firms profit or loss and show the economic profit/loss on the graph.

help please answer in text form with proper workings and explanation for each and every part and steps with concept and introduction no AI no copy paste remember answer must be in proper format with all working

5

£/unit 100 90 SRMC 80 70 60 50 40 30 SRAC 20 D= AR 10 MR 20 60 80 100 Units 10 30 40 50 70 90 Figure 12 Demand and cost curves for a firm in monopolistic competition Figure 12 shows the demand curve, D, marginal revenue curve, MR, and short run marginal cost (SRMC) and average cost (SRAC) curves for a firm in monopolistic competition. Using Figure 12, determine the maximum level of profit the firm can make £

23