Kevin Chen

Budget: $15

Solved!

Suppose a monopolist faces the following demand curve: P = 90 – 4Q. The long run marginal cost of production is constant and equal to $10, and there are no fixed costs. A) What is the monopolist’s profit maximizing level of output? B) What price will the profit maximizing monopolist produce? C) How much profit will the monopolist make if she maximizes her profit? D) What would be the value of consumer surplus if the market were perfectly competitive? E) What is the value of the deadweight loss when the market is a monopoly?Suppose a monopolist faces the following demand curve: P = 90 – 4Q. The long run marginal cost of production is constant and equal to $10, and there are no fixed costs. A) What is the monopolist’s profit maximizing level of output? B) What price will the profit maximizing monopolist produce? C) How much profit will the monopolist make if she maximizes her profit? D) What would be the value of consumer surplus if the market were perfectly competitive? E) What is the value of the deadweight loss when the market is a monopoly?Suppose a monopolist faces the following demand curve: P = 90 – 4Q. The long run marginal cost of production is constant and equal to $10, and there are no fixed costs. A) What is the monopolist’s profit maximizing level of output? B) What price will the profit maximizing monopolist produce? C) How much profit will the monopolist make if she maximizes her profit? D) What would be the value of consumer surplus if the market were perfectly competitive? E) What is the value of the deadweight loss when the market is a monopoly?Suppose a monopolist faces the following demand curve: P = 90 – 4Q. The long run marginal cost of production is constant and equal to $10, and there are no fixed costs. A) What is the monopolist’s profit maximizing level of output? B) What price will the profit maximizing monopolist produce? C) How much profit will the monopolist make if she maximizes her profit? D) What would be the value of consumer surplus if the market were perfectly competitive? E) What is the value of the deadweight loss when the market is a monopoly?Suppose a monopolist faces the following demand curve: P = 90 – 4Q. The long run marginal cost of production is constant and equal to $10, and there are no fixed costs. A) What is the monopolist’s profit maximizing level of output? B) What price will the profit maximizing monopolist produce? C) How much profit will the monopolist make if she maximizes her profit? D) What would be the value of consumer surplus if the market were perfectly competitive? E) What is the value of the deadweight loss when the market is a monopoly?Suppose a monopolist faces the following demand curve: P = 90 – 4Q. The long run marginal cost of production is constant and equal to $10, and there are no fixed costs. A) What is the monopolist’s profit maximizing level of output? B) What price will the profit maximizing monopolist produce? C) How much profit will the monopolist make if she maximizes her profit? D) What would be the value of consumer surplus if the market were perfectly competitive? E) What is the value of the deadweight loss when the market is a monopoly?Suppose a monopolist faces the following demand curve: P = 90 – 4Q. The long run marginal cost of production is constant and equal to $10, and there are no fixed costs. A) What is the monopolist’s profit maximizing level of output? B) What price will the profit maximizing monopolist produce? C) How much profit will the monopolist make if she maximizes her profit? D) What would be the value of consumer surplus if the market were perfectly competitive? E) What is the value of the deadweight loss when the market is a monopoly?Suppose a monopolist faces the following demand curve: P = 90 – 4Q. The long run marginal cost of production is constant and equal to $10, and there are no fixed costs. A) What is the monopolist’s profit maximizing level of output? B) What price will the profit maximizing monopolist produce? C) How much profit will the monopolist make if she maximizes her profit? D) What would be the value of consumer surplus if the market were perfectly competitive? E) What is the value of the deadweight loss when the market is a monopoly?Suppose a monopolist faces the following demand curve: P = 90 – 4Q. The long run marginal cost of production is constant and equal to $10, and there are no fixed costs. A) What is the monopolist’s profit maximizing level of output? B) What price will the profit maximizing monopolist produce? C) How much profit will the monopolist make if she maximizes her profit? D) What would be the value of consumer surplus if the market were perfectly competitive? E) What is the value of the deadweight loss when the market is a monopoly?Suppose a monopolist faces the following demand curve: P = 90 – 4Q. The long run marginal cost of production is constant and equal to $10, and there are no fixed costs. A) What is the monopolist’s profit maximizing level of output? B) What price will the profit maximizing monopolist produce? C) How much profit will the monopolist make if she maximizes her profit? D) What would be the value of consumer surplus if the market were perfectly competitive? E) What is the value of the deadweight loss when the market is a monopoly?

Answer

Tutor Gautham Shiyakino

A) For a monopolist, profit gets maximized at MR=MC. Now, If P=90 – 4Q, MR = 90-8...


Log In


OR

Don't have an account?

Join OneClass

Access over 10 million pages of study
documents for 1.3 million courses.

Sign up

Join to view


OR

By registering, I agree to the Terms and Privacy Policies
Already have an account?
Just a few more details

So we can recommend you notes for your school.

Reset Password

Please enter below the email address you registered with and we will send you a link to reset your password.

Add your courses

Get notes from the top students in your class.


Submit