Price ($/unit) Suppose the accompanying figure shows the demand curve, marginal revenue curve, and marginal cost curve for a monopolist. A E MC MR F G H Quantity (units/day) The socially optimal level of output is units per day. Multiple Choice О F О G

T/F There are alot of  firms (seller) in a monopoly market. Justify in detail.

Problem 3 uppose an airline has monopoly over a certain route. The estimated price elasticity of demand for business travelers is E-12, while the price elasticity of demand for leisure travelers is Ey-24. The airline wants to set the prices separately for business and vacation travelers. Economy Firat Class Only i the marginal cost of transporting each passenger is the same, und the airline is able to separate the two groups perfoctly, what is the optimal surcharge (in ) on business travelers? Oor example. fleiture travelers pay 100, and business ravelers pay 200, then the surcharge is 100%) Anvwer b) Suppose that in order to separste business travelen, the airline must offer them slightly better conditions on board (for enample, serve them a meal). As a resul, the marginal cost of flying a basiness traveler is 30% higher than for a leivare traveler. What is the optimal surcharge (in ) on business fravelers in this case? Awwer Now suppose the airline introdaces a Basi Economy fare,…

Assume inverse demand function for game console in an imaginary country is P=1200-4Q and the total cost function is TC=400+4Q². Government put $120 of specific tax on production. a. If the market is competitive what is the incidence of tax on consumer? b. If the market is monopolist what is the incidence of tax on consumer?

A college has two types fo students: students from middle-income families who have an estimated price elasticity of demand equal to -1 1/2 and students from lower-income families who have an estimated price elasticity of demand equal to -2 1/2. The colleges marginal cost for providing one-year's academic credit is $4,500 regardless of which student is receiving the education.  a. What annual tuition (price) should the college establish for students from middle-income families? b. What annual tuition(price) should the college establish for students from lower-income families?

If both parts could be answered.

Solve part (i) only i.e Answer 9 only Dear expert bro hand written not allowed.

Please refer to the figure above. When MC is constant, the ATC is also constant. How much profit the monopolist will make?

The beautiful expert Hand written solution is not allowed.

In Figure 12-3, one can tell from the graph that the monopolist will earn a positive profit only if с d the price exceeds $2. Figure 12-3 output is less than 60 units. N Select an answer and submit. For keyboard navigation, use the up/down arrow keys to select an answer. the price exceeds $3. 50 One cannot tell from the information given. 60 MR MC X Your answer