Question
Offered Price $5.00

Suppose a monopolist sells its good - Price discrimination

Question # 00580039
Subject: Economics
Due on: 08/29/2017
Posted On: 08/29/2017 06:23 AM

Rating:
4.1/5
Expert tutors with experiences and qualities
Posted By
Best Tutors for school students, college students
Questions:
90919
Tutorials:
90950
Feedback Score:

Purchase it
Report this Question as Inappropriate
Question

Price discrimination

Suppose a monopolist sells its good to three people. Each person can only purchase one good. The first person is willing to pay $20 for the good, the second person is willing to pay $18, and the third is willing to pay $16. If these three people make up the entire market for this monopolist, the monopolist would face the demand curve shown in the table at right.

Buyer Price
1 $20
2 $18
3 $16

2.1. If a monopolist can perfectly price discriminate, how much total revenue will it receive if it sells all three units?

2.2. If the monopolist cannot price discriminate and has to charge the same price on all units sold, how much total revenue will it receive if it sells three units?

Tags price discrimination good sells monopolist suppose monopolist price person willing good units sells total discriminate people revenue receive price1 buyer perfectly sold charge right face second purchase suppose discrimination make entire shown curve demand market table

Tutorials for this Question
Available for
$5.00

Suppose a monopolist sells its good - Price discrimination

Tutorial # 00578004
Posted On: 08/29/2017 06:23 AM
Posted By:
Best Tutors for school students, college students dr.tony
Expert tutors with experiences and qualities
Questions:
90919
Tutorials:
90950
Feedback Score:
Report this Tutorial as Inappropriate
Tutorial Preview …monopolist xxxxx its…
Attachments
Suppose_a_monopolist_sells_its_good_-_Price_discrimination.ZIP (18.96 KB)
Preview not available.
Purchase this Tutorial @ $5.00 *
* - Additional Paypal / Transaction Handling Fee (3.9% of Tutorial price + $0.30) applicable
Loading...