Microeconomics - Externalities Question the demand for gummy bears is given by Q = 200 - 100P and these confections can be produced at a constant...

Microeconomics - Externalities Question

the demand for gummy bears is given by Q = 200 - 100P and these confections can be produced at a constant marginal cost of $0.50.

a. how much will sweet tooth inc be willing to pay in bribes to obtain a monopoly concession from the government for gummy bear production?

b. do the bribes represent a welfare cost from rent seeking?

c. what is the welfare cost of this rent seeking activity?