2. We have a monopolistic firm with the following functions: P(q) = 20 - 3q MC = 2 + 2q MD(q) = 3 What is the optimal ta

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2. We have a monopolistic firm with the following functions: P(q) = 20 - 3q MC = 2 + 2q MD(q) = 3 What is the optimal ta

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2 We Have A Monopolistic Firm With The Following Functions P Q 20 3q Mc 2 2q Md Q 3 What Is The Optimal Ta 1
2 We Have A Monopolistic Firm With The Following Functions P Q 20 3q Mc 2 2q Md Q 3 What Is The Optimal Ta 1 (62.03 KiB) Viewed 10 times
2. We have a monopolistic firm with the following functions: P(q) = 20 - 3q MC = 2 + 2q MD(q) = 3 What is the optimal tax rate for society and how far off is the Pigou- vian tax. Note: a graphical answer is acceptable if the algebra is too difficult
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