IMG_0003_NEW_0008 - as a monopolist? . B) what is social...

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Monopoly: profits Whether a monopolist earns prcfrts depends on the position of its cost cuNes relative to demand. Which demand cuNe offers signifiant excess prottts? Coznparing Pertect Competition and Monopoly S / utrit Question #9 from text i oDemand for diamonds is p=980-Ze oTC for DeBeers is 100+50Q+0.5Q2 . A) what is social welfare when DeBeers acts
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Unformatted text preview: as a monopolist? . B) what is social welfare when DeBeers acts as a perfect competitor? . C) horr much does social welfare increase when DeBeers moves from monopoly to competitor? Welfare Implications (going fuom PC to monopoly) 1. Assume: constant @sls (MC=AC) Qu Qc...
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This note was uploaded on 12/29/2011 for the course ECON 6 taught by Professor Dianne during the Fall '10 term at Simon Fraser.

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