A monopoly supplies its markets from two plants, with cost functions: C = q? C2 = 2q2 and faces a linear demand curve: p = 70 – 2(qı + q2) Find the firm's profit maximizing output for each plant.

Micro Economics For Today
10th Edition
ISBN:9781337613064
Author:Tucker, Irvin B.
Publisher:Tucker, Irvin B.
Chapter9: Monopoly
Section: Chapter Questions
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A monopoly supplies its markets from two plants, with cost functions:
C1 = q?
C2 = 2q2
and faces a linear demand curve:
p = 70 – 2(q1 + q2)
Find the firm's profit maximizing output for each plant.
Transcribed Image Text:A monopoly supplies its markets from two plants, with cost functions: C1 = q? C2 = 2q2 and faces a linear demand curve: p = 70 – 2(q1 + q2) Find the firm's profit maximizing output for each plant.
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