Question: Multivariable Optimization: With Hessian A monopolist sells two products x and y for which the demand functions are: x = 5 0 - 0 .

Multivariable Optimization: With Hessian
A monopolist sells two products x and y for which the demand functions are:
x=50-0.5Px
Y=76-Py
And the combined cost function is
C=3x2+2xy+2y2+55
Find (a) the profit maximizing level of output (x,y) for each product through optimization of the profit function,
(b) The profit maximizing price (Px,Py) for each product,
(c) Find the maximum profit () value for the monopolist, and
(d) Test the second order condition with Hessian.
Multivariable Optimization: With Hessian A

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