« previous next »

Author Question: When the market demand curve is relatively inelastic A) it is unrealistic for a cartel to form ... (Read 44 times)

melly21297

  • Hero Member
  • *****
  • Posts: 565
on: Jul 1, 2018
When the market demand curve is relatively inelastic
 
  A) it is unrealistic for a cartel to form because profits will be lower.
  B) penalties for forming an illegal cartel will be relatively low.
  C) the lower the price the cartel sets, the greater the benefits to the cartel.
  D) the higher the price the cartel sets, the greater the benefits to the cartel.

Question 2

If a monopolist in the output market purchases its monopoly supplier of labor, consumers benefit.
 
  What will be an ideal response?


mceravolo

  • Sr. Member
  • ****
  • Posts: 349
Reply #1 on: Jul 1, 2018
Answer to Question 1

D

Answer to Question 2

True. The firm now pays a competitive price for its labor instead of the monopoly price. This lower wage shifts the firm's marginal cost curve downward. The result is a lower price charged to consumers.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question

melly21297

  • Hero Member
  • *****
  • Posts: 565
Reply #2 on: Jul 1, 2018
Thank you


mceravolo

  • Sr. Member
  • ****
  • Posts: 349
Reply #3 on: Jul 1, 2018
No problemo


« previous next »
 

Did you know?

According to animal studies, the typical American diet is damaging to the liver and may result in allergies, low energy, digestive problems, and a lack of ability to detoxify harmful substances.

Did you know?

Nearly all drugs pass into human breast milk. How often a drug is taken influences the amount of drug that will pass into the milk. Medications taken 30 to 60 minutes before breastfeeding are likely to be at peak blood levels when the baby is nursing.

Did you know?

In 1844, Charles Goodyear obtained the first patent for a rubber condom.

Did you know?

The types of cancer that alpha interferons are used to treat include hairy cell leukemia, melanoma, follicular non-Hodgkin's lymphoma, and AIDS-related Kaposi's sarcoma.

Did you know?

By definition, when a medication is administered intravenously, its bioavailability is 100%.

Sample inventory order form. Sample inventory order form.
Instructions for Completing the CMS-1500 (02/12) Claim Form Continued Instructions for Completing the CMS-1500 (02/12) Claim Form Continued
Instructions for Completing the CMS-1500 (02/12) Claim Form Continued Instructions for Completing the CMS-1500 (02/12) Claim Form Continued
Example of an employee performance evaluation form Cont Example of an employee performance evaluation form Cont
A typical distillation curve. Heavier molecules evaporate at higher temperatures and contain more ... A typical distillation curve. Heavier molecules evaporate at higher temperatures and contain more ...
Video: Heart Chambers

For a complete list of videos, visit our video library