« previous next »

Author Question: When the market demand curve is relatively inelastic A) it is unrealistic for a cartel to form ... (Read 27 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?

People about to have surgery must tell their health care providers about all supplements they take.

Did you know?

The immune system needs 9.5 hours of sleep in total darkness to recharge completely.

Did you know?

Medication errors are more common among seriously ill patients than with those with minor conditions.

Did you know?

A serious new warning has been established for pregnant women against taking ACE inhibitors during pregnancy. In the study, the risk of major birth defects in children whose mothers took ACE inhibitors during the first trimester was nearly three times higher than in children whose mothers didn't take ACE inhibitors. Physicians can prescribe alternative medications for pregnant women who have symptoms of high blood pressure.

Did you know?

The senior population grows every year. Seniors older than 65 years of age now comprise more than 13% of the total population. However, women outlive men. In the 85-and-over age group, there are only 45 men to every 100 women.

A theoretical photosynthetic response curve. A theoretical photosynthetic response curve.
Single atoms form the nodes of an elementary quantum network Single atoms form the nodes of an elementary quantum network
Titration Curve Titration Curve
An Inverted U Curve An Inverted U Curve
Dose-response curve with threshold Dose-response curve with threshold
Construct a Lorenz curve that shows income distribution in this society. Construct a Lorenz curve that shows income distribution in this society.
Video: Virtual Tour of the Eye Animation

For a complete list of videos, visit our video library