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1、Chapter15ProblemsandApplications1.Thefollowingtableshowsrevenue,costs,andprofits,wherequantitiesareinthousands,andtotalrevenue,totalcost,andprofitareinmillionsofdollars:PriceQuantityTotalRevenueMarginalRevenueTotalCostProfit$1000$0—$2$-2901009$93680200167412
2、70300215516604002436185050025171840600248163070021・39122080016・5106109009-711-201,0000・912-12a.Aprofit-maximizingpublisherwouldchooseaquantityof400,000atapriceof$60oraquantityof500,000atapriceof$50;bothcombinationswouldleadtoprofitsof$18million・b・Marginalrev
3、enueisalwayslessthanprice・Pricefallswhenquantityrisesbecausethedemandcurveslopesdownward,butmarginalrevenuefallsevenmorethanpricebecausethefirmlosesrevenueonalltheunitsofthegoodsoldwhenitlowerstheprice.c・Figure15-2showsthemarginal・revenue,marginal・cost,andde
4、mandcurves・Themarginal-revenueandmarginal-costcurvescrossbetweenquantitiesof400,000and500,000.Thissignifiesthatthefirmmaximizesprofitsinthatregion.slsooa>nua)Aa)a:o>0匚亠00$1DWLMC400500Figure15-21,000Quantityd.TheareaofdeadweightlossismarkeduDWLninthefigure・De
5、adweightlossmeansthatthetotalsurplusintheeconomyislessthanitwouldbeifthemarketwerecompetitive,sincethemonopolistproduceslessthanthesociallyefficientlevelofoutput・e.Iftheauthorwerepaid$3millioninsteadof$2million,thepublisherwouldrftchangetheprice,sincetherewo
6、uldbenochangeinmarginalcostormarginalrevenue.f.Tomaximizeeconomicefficiency,thepublisherwouldsetthepriceat$10perbook,sincethafsthemarginalcostofthebook.Atthatprice,thepublisherwouldhavenegativeprofitsequaltotheamountpaidtotheauthor.QuantityFigure15-31.Figure
7、15-3illustratesanaturalmonopolistsettingprice,Patc,equaltoaveragetotalcost.TheequilibriumquantityisQatc・MarginalcostpricingwouldyieldthepricePMcandquantityQmc・SinceforquantitiesbetweenQAtcandQmcthebenefittoconsumers(measuredbythedemandcurve)exceedsthecostofp
8、roduction(measuredbythemarginalcostcurve),thedeadweightlossfromsettingpriceequaltoaveragetotalcostisthetriangularareashowninthefigure.2.Maildeliveryhasanalways-decliningaverage-total-costcurve,s