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A monopoly believes that demand for its good is linear. They also believe that they can...

A monopoly believes that demand for its good is linear. They also believe that they can sell ten units of their good when the market price is 120 and 20 units when the price is 70. Let each potential customer in the market buy, at most, one unit of the good.

(i) What is the marginal consumers willingness to pay for the good when 34 units of the good are consumed in the market?

(ii) What is the total willingness to pay for all consumers (in aggregate) when 34 units of the good are consumed in the market.

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Rahul Sunny answered 2 years ago
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