A monopolist operates in two markets whose demand functions are p₁= 120 - q₁and p₂=100 - 0.5q₂. The monopolist has a constant marginal cost of $20.
a)Find the prices and market quantities when the monopolist can price discriminate between the two markets.
b)Find the output in each market if price discrimination is impossible.
c)Show that the total output q₁+ q₂is the same in part a. and b.

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The Answer of A monopolist operates in two markets whose demand functions are p₁= 120 - q₁and p₂=100 - 0.5q₂. The monopolist has a constant marginal cost of $20. a)Find the prices and market quantities when the monopolist can price discriminate between the two markets. b)Find the output in each market if price discrimination is impossible. c)Show that the total output q₁+ q₂is the same in part a. and b.

A Monopolist Operates in Two Markets Whose Demand Functions Are