Question: Market demand is P = 64 - (Q/7). A multiplant monopolist operates three plants, with marginal cost functions: a) Find the monopolist's profit-maximizing price and

Market demand is P = 64 - (Q/7). A multiplant monopolist operates three plants, with marginal cost functions:
Market demand is P = 64 - (Q/7). A multiplant

a) Find the monopolist's profit-maximizing price and output at each plant.
b) How would your answer to part (a) change if MC2 (Q2) = 4?

MC202 202

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a Equating the marginal costs at MC T we have Q Q 1 Q 2 Q 3 025 MC T 05 MC T 1 M... View full answer

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