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Unformatted text preview: 102 x = 1 2 102 Sx ( 29 ( 29 x M = 5 + S 3 . For S = 6, x M = 11 3 , x 1 M = 7 3 when S = 8, x M = 13 3 , x 1 M = 11 3 . In both cases, consumption in period 0 is lower under monopolistic solutions than under optimal solutions. For S = 10, x M = x 1 M = 5 For S = 12, x M = x 1 M = 5. For cases with S 10, the monopoly solutions does not change. However, optimal solutions will utilize all the resources for S ≤ 20. 3...
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 Spring '09
 Economics, Monopoly, Optimal Solutions, Nonrenewable Resources Optimal Solutions, Nonrenewable Resources Optimal

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