Price Discrimination There are two types of consumers with inverse demands P1= 202Q1 and P2= 162Q2. Assume for now that N1=N2 = 1. There is a...

Price Discrimination

There are two types of consumers with inverse demands

P1= 20−2Q1 and P2= 16−2Q2. Assume for now that N1=N2 = 1. There is a monopolist providing the good with a marginal cost of 4.

1.1

What is the Uniform price that a monopolist would charge?

1.2

What would be the prices that a monopolist would charge if it could price discriminate (3rd degree)?

1.3

What would the prices be under 2-part pricing? (please include the membership fee and the unit price)

1.4

What would be the optimal bundles if the monopolist could not distinguish between consumer types