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Answer in Microeconomics for matt #110533

Author:
April 21st, 2023

If QN = 100 – 0.25p, then p = 400 – 4QN.

If Qw = 200 – 0.5p, then p = 400 – 2Qw.

The profits are maximized when MR = MC.

“MRN = TR'(QN) = 400 – 8QN,”

“MRw = TR'(Qw) = 400 – 4Qw,”

“400 – 8QN = 1000,”

QN is negative.

400 – 4Qw = 1000,

Qw is also negative, so nobody will enroll.

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