1 a price discriminating monopolist produces two products

Reference no: EM13373343

(1) A price discriminating monopolist produces two products that exhibit the following price elasticities of demand: E1= - 2.2 and E2= -3.0. For good one (G1) he will charge a price of P1=$12. What should he charge for good 2?

(2) The following payoff matric displays the profit and losses for company 1 and 2 given its own action and those of it's opponent. Each company can either pursue strategy A, B, or C. Does anybody can have a dominant strategy? Explain.

1691_What should he charge for good.png

Reference no: EM13373343

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