Anna's Antiques expects to get two bidders for the unique china teacup it sells. Each of the bidders can either have a high-value of $100 or a low-value of $70 with equal probability. If Anna can only set one price, what price should she set?
a. $100
b. $70
c. Any price higher than $100
d. Any price lower than $70
a
Economics
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If a monopolist can sell 7 units when the price is $4 and 8 units when the price is $3, then the marginal revenue of selling the eighth unit is equal to
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