Determine the profit-maximizingLOADING... prices when a firm faces two markets where the inverse demand curves are Market A: p Subscript Upper Aequals80minus2Upper Q Subscript Upper A, where demand is less elastic, and Market B: p Subscript Upper Bequals60minus1Upper Q Subscript Upper B, where demand is more elastic, and Marginal Costequalsmequals20 for both markets.

Market A:

Market B:

Explanation:

Market A: ........................ (1)

Market B: ........................ (2)

MC = m = 20 ............................................... (3) for both markets

For Market A:

Profit maximizing price can be obtained when  

Therefore, we have:

Substituting 50 for in equation (1), we have:

For Market B:

Profit maximizing price can be obtained when  

Therefore, we have:

Substituting 80 for in equation (2), we have:

answer: b) the us is the leading importer but not the leading exporter.

extra info:

the u.s is the largest importer but it is not the largest exporter as china sits on the top of the table when it comes to leading exporters.

but u.s is not far from first,

they rank in 2nd globally as the worlds largest exporter.

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2b2t

explanation:

2b2t