6. Price-discriminating monopolist Amy owns a plot of land in the desert that is

Question

6. Price-discriminating monopolist Amy owns a plot of land in the desert that isn't worth much. One day, a giant meteorite falls on her property, making a large crater The event attracts scientists and tourists, and Amy decides to sell nontransferable admission tickets to the meteor crater to both types of visitors: scientists (Market A) and tourists (Market B). The following graphs show daily demand (D) curves and marginal revenue (MR) curves for the two markets. Amy's marginal cost of providing admission tickets is zero. Market A Market B 20 18 16 20 18 12 12 10 MR MR D 0 3 6 9 12 15 18 21 24 27 30 0 3 6 9 12 15 18 21 24 27 30 QUANTITY (Admission tickets) QUANTITY (Admission tickets) Suppose that at first, Amy charges the same price of $8 per admission in both markets so that the total number of admissions demanded is Suppose now that Amy decides to charge a different price in each market. To maximize revenue (and therefore, profits), Amy should charge quantity of per admission in Market A and per admission in Market B. At these prices, she will sell a total admission tickets per day

Explanation / Answer

24

10,6in B where mc=mr

15+9=24

No discriminatory =24.8=192

Discriminatory =15.10+9.6=284

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Have answered all parts even though as per chegg is required to answer only 4.please like

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