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Unformatted text preview: 0 if it is not correct. 1. A monopolist faces inverse demand P = 24-2 q and has a marginal cost of MC = 2. What is her prot-maximizing quantity and price? q = and p = 2. The government imposes a tax of t = 4 per unit. What is the new prot-maximizing quantity and price? q = and p = 1...
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This note was uploaded on 12/26/2011 for the course ECON 100B taught by Professor Kilenthong during the Fall '08 term at UCSB.
- Fall '08