Suppose a monopolist faces consumer demand given by P=400-2Q with a constant marginal cost of ?$80 per unit? (where marginal cost equals average total cost. Assume the firm has no fixed? costs).
If the monopoly can only charge a single? price, then it will earn profits of____?
Correspondingly, consumer surplus is _____?$?
?However, if the firm were to practice price discrimination such that consumer surplus becomes? profit, then, holding output constant at 80?, the monopoly would have profits of ?$____?