Microeconomics

Replies / Views	Last post
If there are 2 identical firms in a market that choose the quantity they produce, total welfare is ... Started by soccerdreamer_17	1 Replies 110 Views	Jul 1, 2018 by ntsoane kedibone
If two firms behave as Cournot duopolists, the level of social welfare is lower than if the same ... Started by nelaaney	3 Replies 42 Views	Jul 1, 2018 by Laurenleakan
What happens in a duopoly if both firms try to act as the Stackelberg leader? What will be an ... Started by ec501234	1 Replies 41 Views	Jul 1, 2018 by Rilsmarie951
Suppose the demand for pizza in a small isolated town is p = 10 - Q. There are only two firms, A and ... Started by ARLKQ	1 Replies 77 Views	Jul 1, 2018 by lkoler
The Bertrand model is a more plausible model of firm behavior than the Cournot model A) when ... Started by cdr_15	1 Replies 62 Views	Jul 1, 2018 by Kaytorgator
The Bertrand model of price setting assumes that a firm chooses its price A) independently of ... Started by melly21297	1 Replies 55 Views	Jul 1, 2018 by jessofishing
Assuming a homogeneous product, the Bertrand duopoly equilibrium price is A) the same as the ... Started by waynest	1 Replies 123 Views	Jul 1, 2018 by kalskdjl1212
Assuming a homogeneous product, the Bertrand equilibrium price is A) independent of the number of ... Started by javeds	1 Replies 54 Views	Jul 1, 2018 by InfiniteSteez
One criticism of the Bertrand pricing model is that A) the model is implausible when there is ... Started by Chloeellawright	1 Replies 58 Views	Jul 1, 2018 by dawsa925
In a Bertrand model, graphically, the intersection of all firms' best-response curves determines ... Started by Marty	3 Replies 52 Views	Jul 1, 2018 by Sweetkitty24130
In a Bertrand model, market power is a function of A) marginal cost. B) the number of firms. C) ... Started by vicky	1 Replies 77 Views	Jul 1, 2018 by bobsmith
In a Bertrand model with identical firms and a non-differentiated product, price will increase in ... Started by clmills979	1 Replies 33 Views	Jul 1, 2018 by skipfourms123
In a Bertrand model with differentiated products, A) firms can set price above marginal cost. B) ... Started by jeatrice	1 Replies 37 Views	Jul 1, 2018 by tuate
Product differentiation allows a firm to charge a higher price because the residual demand curve ... Started by nenivikky	1 Replies 25 Views	Jul 1, 2018 by Joy Chen
Product differentiation A) may allow firms to price above a competitive level. B) generates ... Started by Jipu 123	1 Replies 45 Views	Jul 1, 2018 by mtmmmmmk
Two identical firms that share a market and produce a homogenous good will find the Bertrand ... Started by Brittanyd9008	1 Replies 66 Views	Jul 1, 2018 by sailorcrescent
Because firms selling a homogeneous product set price in response to the (perceived) pricing ... Started by cmoore54	1 Replies 32 Views	Jul 1, 2018 by Liamb2179
Suppose the demand for Pepsi-Cola is qp = 54 - 2pp + 1pc. The demand for Coca-Cola is qc = 54 - 2pc ... Started by Lobcity	3 Replies 132 Views	Jul 1, 2018 by gcook
Suppose the demand for Pepsi-Cola is qp = 50 - 2pp + 1pc. The firm faces a constant marginal cost of ... Started by stephzh	1 Replies 77 Views	Jul 1, 2018 by leannegxo
In a Bertrand duopoly with product differentiation, explain how a change in one firm's marginal cost ... Started by fagboi	1 Replies 51 Views	Jul 1, 2018 by cassie_ragen
Monopolistically competitive firms face downward-sloping residual demand curves because these firms ... Started by sjones	1 Replies 93 Views	Jul 1, 2018 by Andromeda18
In the long run, a monopolistically competitive firm A) earns zero economic profit. B) produces ... Started by Lisaclaire	1 Replies 54 Views	Jul 1, 2018 by bbburns21
Monopolistically competitive firms A) have market power because they can set price above marginal ... Started by piesebel	1 Replies 44 Views	Jul 1, 2018 by reelove4eva
In the short run, a monopolistic competitor A) produces at minimum efficient scale. B) produces ... Started by EAugust	1 Replies 40 Views	Jul 1, 2018 by kalskdjl1212
In the long run, a monopolistic competitor A) sets MR = MC. B) produces where P = AC. C) sets P ... Started by lbcchick	1 Replies 77 Views	Jul 1, 2018 by wergv