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Determine optimal markups and price under third-degree price

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You are the manager of a monopoly that sells a product to two groups of consumers in different parts of the country. Group 1's elasticity of demand is -6, while group 2's is -5. Your marginal cost of producing the product is $50.

Problem a. Determine your optimal markups and prices under third-degree price discrimination.

 

Reference no: EM132815485

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