SCENARIO: a MONOPOLIST A Monopolist Faces a Demand Curve Given by P =

question 38

Multiple Choice

SCENARIO: A MONOPOLIST
A monopolist faces a demand curve given by P = 20 - Q and has total
Costs given by TC = Q2.By using a bit of calculus, you should be able
To determine that the firm's marginal revenue is MR = 20 - 2Q and its
Marginal cost is MC = 2Q.
Reference: Ref 9­3
(Scenario: A Monopolist) Now suppose that the country in which this
Monopolist is located decides to engage in international trade.The
World price of the product produced by the monopolist is $12.What is
The monopolist's profit­maximizing output level?

• A)5
• B)6
• C)7
• D)8

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Definitions:

Lean Business Model

A lean business model focuses on creating more value for customers with fewer resources by minimizing waste and optimizing processes.