Question: Suppose now the inverse demand function is P ( Q ) = - Q and the cost per unit of output is z . (
Suppose now the inverse demand function is and the cost per unit of output is
a Find the profit maximizing output, and the associated monopoly profit,
b Find to illustrate how monopoly profit reacts to a change in cost per unit,
c Suppose the government wants the monopoly to produce units of output. What subsidy per unit of output, must the government provide to elicit
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