Market elasticity of demand for firm

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Based on the best available econometric estimates, the market elasticity of demand for your firm's product is -2. The marginal cost of producing the product is constant at $150, while average total cost at current production levels is $225.

Determine your optimal per unit price if:

Instructions: Enter your responses rounded to two decimal places.

a. You are a monopolist.

$ ____________________

b. You compete against one other firm in a Cournot oligopoly.

$ ___________________

c. You compete against 19 other firms in a Cournot oligopoly.

$ _____________________

Reference no: EM132503742

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