Suppose a monopoly provides both cable tv and broadband, Business Economics

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Suppose a monopoly provides both cable tv and broadband

Suppose a monopoly provides both Cable TV and broadband access in a city. The fixed costs are $1 million per day. The number of households (measured in millions) demanding cable is D1(p1) = 2-p1 (where p1 is measured in $/day). The demand for broadband access is D2(p2) = 1-p2/4

Find the inverse demand curves and aggregate consumer surplus a function of prices.

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Business Economics: Suppose a monopoly provides both cable tv and broadband

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Business Economics: Suppose a monopoly provides both cable tv and broadband

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