Consider the hypothetical Q-P demand curve of Problem 14-3, Q = 100 / P . The revenue at any point is R = PQ at any point (Q-P) is the same and equals 100. Show that the four-fare Q-segmentation (0, 30, 65, 80, 100) will still produce a higher revenue.

Problem 14-3

Suppose that the Q-P demand curve for a commodity is Q = 100/P.