Find the monopoly equilibrium

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Consider a no differentiated product market with inverse demand function P Q q = 62 - 2. Assume that all firms face the total cost function C=2qi , where denotes the firm's production. Answer the following questions.

a) Suppose that the market is served by a monopolist who can only charge uniform liner prices according to the standard monopoly model. Find the monopoly equilibrium (price, quantity, profit & Lerner Index). N.B. a monopolist may maximise profit at price higher than marginal cost.

Reference no: EM133065944

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