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Monopolist produces the competitive output

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Reference no: EM131449319

A monopolist's cost function is 

C(y)=y(y/50-2)²+y. It faces a demand function y=100-25p. 

Solve for monopolist's output, price, profit and consumer surplus when:

a. Price is unregulated

b. Price is set such that a monopolist produces the competitive output

Note: both FOC and SOC need to be checked to determine profit maximization

Reference no: EM131449319

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