Now suppose that the monopolist in problem 3 can separate, Business Economics

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Now suppose that the monopolist in problem 3 can separate

Now suppose that the monopolist in problem #3 can separate the two groups and charge separate, profit-maximizing prices to each group.

a. What will these prices be? What is consumer surplus? What are total profits?

b. If total surplus is consumer surplus plus profit, how has price discrimination affected total surplus?

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Business Economics: Now suppose that the monopolist in problem 3 can separate

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Business Economics: Now suppose that the monopolist in problem 3 can separate

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