Economicstwo cansners 182U,(X, T.) =405X -T,Uz(X_,Ts) = 60JX-Tzmonopolist AC=MC = 5Cansuer l'2´Usiliy Ainction.%3DConsider the ecanomay descubed above. Suppose the mondoes X o bsenve the cansmer's Otiliy.Campute the ophinal ofters. (Y,Ti),(,Ts), and manupulst元CPO Bt2)opolistFingralHant) menopolist acdjust x, to the ertent were @=B)nngual lossXy RXっxof大.of t

The two utility function is given as Both Average and Marginal Cost is given as 5.

two consuers 1&2 U₁CX,T₁) = 40X-T₁ U₂ (X₂₁T₂ ) = 60√X-T₂ - Consider the economoy described above. Suppose the monopolist *does X observe the consumer's utility. Compute the optimal offers. (x,₁, T₁), (X₂, T₂), and monopolist T.(Profit?) B ✓U₂(X) • Monopolist AC=MC=5 } Consumer 1'2' Utility function. A x < x fd xx fd tinghal [Hat) monopolist adjust y, to the extent where (A) = (B) maginal loss of t gain of x.

two consuers 1&2 U₁CX,T₁) = 40X-T₁ U₂ (X₂₁T₂ ) = 60√X-T₂ - Consider the economoy described above. Suppose the monopolist *does X observe the consumer's utility. Compute the optimal offers. (x,₁, T₁), (X₂, T₂), and monopolist T.(Profit?) B ✓U₂(X) • Monopolist AC=MC=5 } Consumer 1'2' Utility function. A x < x fd xx fd tinghal [Hat) monopolist adjust y, to the extent where (A) = (B) maginal loss of t gain of x.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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