Question

A monopolist firm has the following total revenue and total cost functions:
R=-mQ+ nQ
(m,n > 0)
C=aQ² +bQ+ c
(a,b,c > 0)
Suppose that the government plans to levy an excise tax on the product of this firm and
wishes to maximise the total tax revenue T from this source. What tax rate trupees per
unit of output) should the government choose?​

Answer 1

Answer:

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