2. A monopolist knows that she sells to two different customer groups. Demands and marginal revenues...

2. A monopolist knows that she sells to two different customer groups. Demands and marginal revenues for each group are:

P1 = 64 - 4q1 MR1 = 64 - 8q1

P2 = 18 - 1.5q2 MR2 = 18 - 3q2

a. Suggest a rational 2-part tariff strategy for this monopolist. Show your work.

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Expert Solution

Rahul Sunny answered 1 year ago

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