Suppose a Profit Maximizing Monopolist Has Total Costs C(Y)= 10Y

question 60

Multiple Choice

Suppose a profit maximizing monopolist has total costs C(Y) = 10Y. The monopolist is charging a profit maximizing price or p = 15. If market demand has a constant price elasticity, then the price elasticity of demand must be equal to:

• A)1.
• B)3.
• C)3/2.
• D)2/3.

---

Definitions:

Strengths

The qualities or attributes that are considered to be an advantage or are beneficial.

Deficits

The amount by which something, especially a sum of money, is too small or is lacking in comparison to requirements or expectations.

Organizational Learning

The process by which an organization improves and evolves based on past experiences and knowledge.

Individual Learning

The process by which a person acquires knowledge, skills, or competencies on a personal level, outside of collective educational settings.