Question: Question-1 (Monopolist Behavior) (40 points) Suppose a monopolist faces two markets with demand curves given by Di(pi) = 200 - P1 D2(p2) = 100 -

Question-1 (Monopolist Behavior) (40 points) Suppose a monopolist faces two markets with demand curves given by Di(pi) = 200 - P1 D2(p2) = 100 - 2p2 Assume that the monopolist's cost function is c(y) = y 1. What is the optimal prices for the monopolist if it can charge different prices in these markets? 2. What is the optimal price if the monopolist must charge the same price in each market? 3. How much total consumers' surplus changes between the two separate prices and the same price cases

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