Hawkins MicroBrewery has a monopoly on Oatmeal Stout in the local market. The demand is: Q_D = 100 - 2P $\iff$ P = 50 - Q. The resulting marginal revenue function is MR(Q) = 50 - Q. Hawkins marginal cost of producing Oatmeal Stout is MC(Q) = 5 + Q. Calculate Hawkins profit maximizing output. Calculate the social cost of Hawkins monopoly power.

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The Answer of Hawkins MicroBrewery has a monopoly on Oatmeal Stout in the local market. The demand is: Q_D = 100 - 2P $\iff$ P = 50 - Q. The resulting marginal revenue function is MR(Q) = 50 - Q. Hawkins marginal cost of producing Oatmeal Stout is MC(Q) = 5 + Q. Calculate Hawkins profit maximizing output. Calculate the social cost of Hawkins monopoly power.

Hawkins MicroBrewery Has a Monopoly on Oatmeal Stout in the Local