Solve for the competitive equilibrium price and quantity

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Reference no: EM13191223

Suppose a monopolist faces the following demand curve, variable cost function, and
Suppose a monopolist faces the following demand curve:
fixed costs:QD =10-1/2p VC=8Q+Q^2 F=8
a. Find the monopolist's revenue, marginal revenue, and marginal cost functions(they all should be functions of Q only)
b. Solve for the profit maximizing price and quantity for the monopolist.
c. Solve for the competitive equilibrium price and quantity.
d. Calculate the amount of deadweight loss created by the monopolist.

e. How much of would-be consumer's surplus is the monopolist able to grab because of their market power?

f. Draw a graph of this scenario as you can. Be sure to label all curves, axis intercepts,the market prices and quantities under both market structures as well as label the areas discussed in d and e

g. Explain what dead weight loss is.

Reference no: EM13191223

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