economics 295, micro
a. why is the ratio of the monopoly’s price to its marginal cost, p/Mc, larger if the demand curve is less elastic at the optimum quantity? Can the demand curve be inelastic at the quantity ?
b.
economics 295, micro
a. why is the ratio of the monopoly’s price to its marginal cost, p/Mc, larger if the demand curve is less elastic at the optimum quantity? Can the demand curve be inelastic at the quantity ?
b.
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