Asap Plz Suppose that a firm with market power can perfectly price-discriminate and faces the demand function q = 400- 4P. The firm's marginal costs are given by MC(q) = 2q +0.12q 2 . If the firm...


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Suppose that a firm with market power can perfectly price-discriminate and faces the demand function q = 400- 4P. The firm's marginal costs are given by MC(q) = 2q +0.12q
2. If the firm cannot price-discriminate, the profit-maximizing level of output is 20.27, and the optimal price is $94.9325


Identify consumer surplus and producer surplus in the market when the firm cannot price discriminate, assuming that the firm maximizes profits. Calculate the deadweight loss from market power. Round your answers to two decimal places.
consumer surplus: $______
producer surplus: $________
dead weight loss: $_____



Jun 07, 2022
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