6. Suppose Home is a small country and has a monopolist with Marginal cost 2q. The world price is p = 40. The Home inverse demand function is P = 150 - Q. (a) Find the Domestic Free Trade equilibrium outcome. P = (domestic) q =_ Imports -

Economics: Private and Public Choice (MindTap Course List)
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ISBN:9781305506725
Author:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Publisher:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Chapter6: The Economics Of Political Action
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6. Suppose Home is a small country and has a monopolist with Marginal cost 2q. The world price
is pw40. The Home inverse demand function is
P = 150 - Q.
(a) Find the Domestic Free Trade equilibrium outcome.
P =
(domestic) q =_
Imports
Transcribed Image Text:6. Suppose Home is a small country and has a monopolist with Marginal cost 2q. The world price is pw40. The Home inverse demand function is P = 150 - Q. (a) Find the Domestic Free Trade equilibrium outcome. P = (domestic) q =_ Imports
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