Question #171360
Take a monopolist which has a access to two consumers with demands of Q1=4-P1 and Q2=2-P2.
1)assume the monopolist can set a price.what would be the price?would it serves to both to the customers.
Expert's answer
If the monopolist can set a price, then it will produce such output, at which MR = MC, and set the price from the demand curve at this quantity.
It would not serve to both of the customers, because they have different demand equations.
