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Price discriminate between two groups of consumers

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A firm with costs C(Q) = 1,000 + 60Q + 0.1Q2 is able to price discriminate between two groups of consumers, with demands Q1 = 3,000 - 2p and Q2 = 350 - 0.5p.

a. How much output does it sell to each group, and at what price?

b. What would happen if it were forced to charge all customers the same price?

Reference no: EM131053801

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