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Monopoly pricing 4. Firm X has a complete monopoly over the production of nutmeg. The following...

Monopoly pricing 4. Firm X has a complete monopoly over the production of nutmeg. The following information is given: Marginal revenue = 1500 -20Q Marginal cost = 300 +10Q Where Q equals the output of nutmeg per unit of time. How much nutmeg would be sold and at what price if

a.) the firm sets price as a monopoly?

b.) What is the firm’s profits at the monopoly price determine in part a?

c.) Now suppose the industry (firm) behaves perfectly competitively, how much nutmeg would be sold and at what price?

d.) What is the firm’s profits at the monopoly price and at the competitive price?

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