This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: In the small country of Talisman, the liquor industry is monopolized by a single producer Best ... (Read 89 times)

storky111

  • Hero Member
  • *****
  • Posts: 561
on: Jun 30, 2018
In the small country of Talisman, the liquor industry is monopolized by a single producer Best Drinks Inc Best Drinks charges high-end customers like 5-star hotels a much higher price than it charges local pubs. This discrimination is possible only if:
 a. price discrimination is legal in Talisman.
  b. we assume Best Drinks can prevent pub owners from buying liquor and selling it to 5-star hotels.
  c. consumers in Talisman have similar price elasticities of demand for liquor.
  d. we assume Best Drinks is a natural monopoly.

Question 2

If a monopolist is producing at the profit-maximizing level of output, what price will it charge?
 a. The price given by the marginal-revenue curve at that level of output.
  b. The price given by the marginal-cost curve at that level of output.
  c. The price given by the average-cost curve at that level of output.
  d. The price given by the average-revenue curve at that level of output.
  e. The price given by the total revenue curve at that level of output.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

cat123

  • Sr. Member
  • ****
  • Posts: 310
Reply #1 on: Jun 30, 2018
Answer to Question 1

B

Answer to Question 2

d


storky111

  • Member
  • Posts: 561
Reply 2 on: Jun 30, 2018
:D TYSM

parshano

  • Member
  • Posts: 333
Reply 3 on: Yesterday
Gracias!

« previous next »
 

Did you know?

Drying your hands with a paper towel will reduce the bacterial count on your hands by 45–60%.

Did you know?

Opium has influenced much of the world's most popular literature. The following authors were all opium users, of varying degrees: Lewis Carroll, Charles, Dickens, Arthur Conan Doyle, and Oscar Wilde.

Did you know?

Hip fractures are the most serious consequences of osteoporosis. The incidence of hip fractures increases with each decade among patients in their 60s to patients in their 90s for both women and men of all populations. Men and women older than 80 years of age show the highest incidence of hip fractures.

Did you know?

In most cases, kidneys can recover from almost complete loss of function, such as in acute kidney (renal) failure.

Did you know?

Children of people with alcoholism are more inclined to drink alcohol or use hard drugs. In fact, they are 400 times more likely to use hard drugs than those who do not have a family history of alcohol addiction.

A small adult H. erectus from Olorgesailie, Kenya. A small adult H. erectus from Olorgesailie, Kenya.
Traits With Single-Gene Dominant–Recessive Inheritance Traits With Single-Gene Dominant–Recessive Inheritance
David P. Bradley (White Earth Oijbwe, and Mdewakaton Dakota), Indian Country Today. David P. Bradley (White Earth Oijbwe, and Mdewakaton Dakota), Indian Country Today.
Fine motor skills involve coordinating the many small muscles of the wrists, hands, and fingers. Fine motor skills involve coordinating the many small muscles of the wrists, hands, and fingers.
Industry is responsible for 21% of global greenhouse gas emissions Industry is responsible for 21% of global greenhouse gas emissions
Entrepreneurship: Starting and Operating a Small Business (3rd Edition) Entrepreneurship: Starting and Operating a Small Business (3rd Edition)
Video: Introduction to Human Immunodeficiency Virus (HIV)

For a complete list of videos, visit our video library