21 Suppose The Widget Market Is Monopolized The Market Demand Curve Is Q 90 10p Or P 9 0 1q And The Monopolist 1 (35.92 KiB) Viewed 45 times
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21. Suppose the widget market is monopolized, the market demand curve is Q = 90 - 10P (or P=9 - 0.1Q) and the monopolist's marginal cost (MC) is constant at $1. If this is a “single price" monopolist (one that does not engage in price discrimination), the market price (PM) and amount exchanged (QM) will be: a) PM = 5 and QM =40 b) PM = 1 and OM =40 c) PM = 1 and QM =80 d) PM = 9 and QM =0 e) unknown, based on the information provided.
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