1. A monopolist faces the following information:
The market demand: Q = 300 – 2P
The cost structure: TC = 100 + 50 Q
What is the profit-maximizing price-output combination and
what are the levels of profits and consumer surplus at that
How would your answer to part a. change if the firm is forced
into marginal cost pricing?
What is the dead-weight-loss?
(Can you please label each step, thank you in advance!)