Multiple Choice
Refer to the following figure:
The graph shows the demands and marginal revenue in two markets, 1 and 2, for a price discriminating firm along with total marginal revenue, MRT, and marginal cost.
-At the optimal price and quantity, what is demand elasticity in each market?
A) E1 =-3.67, E2 = -2.33
B) E1 =-03, E2 = -4
C) E1 = -2.5, E2 = -3.5
D) E1 = -3, E2 = -3
E) E1 = -1.67, E2 = -2.33
Correct Answer:

Verified
Correct Answer:
Verified
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