Question: A monopoly has long-run total cost and long-run marginal cost given by:

TC = Q² - 5Q + 100 MC = 2Q - 5

The market demand curve is given by: P = 55 - 2Q

a. Use the twice-as-steep rule to find the equation of the marginal revenue curve corresponding to the market demand curve.

b. Find the profit-maximizing quantity of output for the monopoly and the price the monopolist will set.

c. Calculate the monopolist’s profits.

d. D. Calculate the consumer surplus under monopoly.

e. What quantity of output would be produced if the monopolist acted like a perfect competitor and set MC equal to P?

f. Calculate profits and consumer surplus corresponding to the competitive equilibrium.

g. Find the deadweight loss due to the monopoly