Total Output Price Marginal Revenue Average Total Cost Marginal Cost 1 $ 100 $ 100 $ 100.00 $ 30 2 90 80 63.00 26 3 80 60 52.67 32 4 70 40 49.50 40 5 60 20 49.60 50 6 50 0 50.00 52 7 40 −20 52.29 66 8 30 −40 55.75 80 9 20 −60 60.67 100 10 10 −80 67.60 130   Refer to the data above for a nondiscriminating monopolist.  a)  What level of output should the monopolist produce at to maximize profit?  How do you know? b)  Is this monopolist earning profit?  How do you know? c)  Name an industry that the above table could apply to?  What could be the source of this firm’s monopoly power?

Suppose Phineas  is the only inventor and seller of space suits  in town and therefore holds a monopoly on the sale of space suits.  Phineas can offer additional space suits at a constant  $150 per suit (marginal cost).  For simplicity assume that he has no fixed costs.    Show your work for receive full points. The following is the demand schedule for space suits in Phineas’ town:   Quantity of space suits demanded Price of a space suit Total Revenue (TR) Marginal Revenue (MR) 0 $1,000 $0 — 1 $  800     2 $  500     3 $  450     4 $  150 5 $      0 A. If Phineas acts as a  profit maximizing monopolist,  how many space suits will he offer and what price will he charge? B.  What is Phineas’ profit?  C.   If the market for space suits were perfectly competitive,  what would be the efficient price? D.  If Phineas  was able to price discriminate and also sell his space suits to Aliens who have a higher elasticity of demand than humans (the table above) for space suits, where would he make the larger profit?  

I have read the Getting Started module and course syllabus in their entirety.

Alexander’s successors were collectively known as the Diadochi.

Luke first called himself Epiphanes (God Manifest).

Nero converted to Judaism shortly after the rebuilding of the Temple.

The Feast of Dedication was also called Hanukkah.

The period of Jesus’ life is chronologically framed by which two Jewish wars?

Who was the son of the defiant priest Mattathias who carried on the revolt?

What precipitated the fall of Jewish national autonomy in 63 BCE, resulting in future Jewish leadership being only puppets of Rome?