(Solved): Lagat Green is a monopoly beer peoducer and distributor operating in the hypothetical economy of Ug ...

Lagat Green is a monopoly beer peoducer and distributor operating in the hypothetical economy of Ughitington. Assuime that Lapatt Green is not aple Price discriminate, and so it selis its beer to all customers at the same price per bottle. The following graph gives the marginal cost (NC). mharginal revenue (MR), average total cost (ATC), and demand (D) curves that Lagatt Green faces for beer in Lightington. Asce the black point (olos symbol) on the graph to indicate the profitmanimiring price and quantify tor Lagatt Green. If Lagatt freen is makiag a profit, use the green rectangle (biangle symbols) to shade in the area represeriting its profit, On the other hand, if tagatt Green is suifering a iass, use the porple rectangle (diamond symbols) to shade in the area representing ats lass. Suppose Lagatt Green charges \( \$ 2.75 \) per bottle, Your study partner Jabrill says that because Lagatt Green is a monopoly with market power, it should charge the higher price of \( \$ 3.00 \) per bottle in order to increase its profit. Complete the following table to determine whother Jabrii is correct. Given the eariler information, Jabrill correct in his assertion that Lagatt Green should charge \( \$ 3.00 \) per bottle. Suppose that a technological innovation decreases Lagatt Green's costs so that it now faces the marginal cost (MC) and average total cost (ATC) given on the following graph. Specfically, the technological innovation causes a decrease in average foxed costs, thereby lowering the ATC carve and moving the MC curve. Place the black point (plus symbol) on the following graph to indicate the profic-maximizing price and quantity for Lagatt Green. If Lagatt Green is making a profit, use the green rectangle (triangle symbals) to shade in the area representing its pront. On the other hand, if Lagatt Green is suffering. a loss, use the purple rectangie-(diamond symbols) to shade in the area representing the loss: making a profic, use the green rectangie (trangle symboly) to shade in the area representing its prone. On the other hand, if Lapatt Green as sulferng a foss, isse the purple rectangle (diamond symboli) to shade in the area representing the losk: