[Q: 11-9287433] Suppose a single-price monopolist faces an inverse market demand curve given by: P(Q) = 302 - 2Q and has a marginal cost curve given by MC(Q) = Q. Calculate the quantity of goods that...


[Q: 11-9287433] Suppose a single-price monopolist faces an inverse market demand curve given by:<br>P(Q) = 302 - 2Q<br>and has a marginal cost curve given by MC(Q) = Q.<br>Calculate the quantity of goods that the monopolist will sell at the market equilibrium and the price it will charge.<br>Equilibrium quantity: 60.4. (Round your answer to two decimal places and use it in the subsequent calculations).<br>Equilibrium price: 181.2. (Round your answer to one decimal place and use it in the subsequent calculations).<br>Calculate the deadweight loss of this monopoly. 2432.3 . (Round your answer to two decimal places; Hint: be careful not to round the competitive quantity).<br>Now suppose that a 30% ad valorem tax is applied to the consumers in this market. Calculate the after-tax market equilibrium.<br>Equilibrium quantity: 55.63 units. (Round your answer to two decimal places and use it in the subsequent calculations).<br>Price consumers pay: $ 190.74'. (Round your answer to two decimal places and use it in the subsequent calculations).<br>Price monopolist receives: $ 133.52. (Round your answer to two decimal places and use it in the subsequent calculations).<br>Calculate the deadweight loss of this market after the tax is imposed. 3042.45. (Round your answer to two decimal places; Hint: be careful not to round the competitive quantity).<br>

Extracted text: [Q: 11-9287433] Suppose a single-price monopolist faces an inverse market demand curve given by: P(Q) = 302 - 2Q and has a marginal cost curve given by MC(Q) = Q. Calculate the quantity of goods that the monopolist will sell at the market equilibrium and the price it will charge. Equilibrium quantity: 60.4. (Round your answer to two decimal places and use it in the subsequent calculations). Equilibrium price: 181.2. (Round your answer to one decimal place and use it in the subsequent calculations). Calculate the deadweight loss of this monopoly. 2432.3 . (Round your answer to two decimal places; Hint: be careful not to round the competitive quantity). Now suppose that a 30% ad valorem tax is applied to the consumers in this market. Calculate the after-tax market equilibrium. Equilibrium quantity: 55.63 units. (Round your answer to two decimal places and use it in the subsequent calculations). Price consumers pay: $ 190.74'. (Round your answer to two decimal places and use it in the subsequent calculations). Price monopolist receives: $ 133.52. (Round your answer to two decimal places and use it in the subsequent calculations). Calculate the deadweight loss of this market after the tax is imposed. 3042.45. (Round your answer to two decimal places; Hint: be careful not to round the competitive quantity).

Jun 08, 2022
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