Question: Please Show Work L [16] Remember that guy, Bom? now he has decided to implement a twopart tariff. [Assume all consumers are identical.) a. [6]
Please Show Work
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"L [16] Remember that guy, Bom? now he has decided to implement a twopart tariff. [Assume all consumers are identical.) a. [6] Calculate the profit maximizing prices that he would set for the unit and lumpsum costs. b. [6} Calculate Bom's profit, how does it compare to the prot he would earn with uniform pricing {question 6c)? c. [4} Explain whether Bom be betteraoff using a rst degree price discrimination scheme instead of a twcrpart tariff. what would his prot be if he decided to do this
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