If the demand curve is Q(p) = 15 -p and the marginal cost is constant at...

If the demand curve is Q(p) = 15 -p and the marginal cost is constant at 3, what is the profit maximizing monopoly price and output? What is the price elasticity at the monopoly price and output?

Expert Solution

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So, the price elasticity of demand (Ep) at monopolist's equilibrium quantity and price is Ep=1.5.

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Rahul Sunny answered 6 months ago

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