This topic contains a solution. Click here to go to the answer

Author Question: A firm is currently producing in the inelastic portion of its demand curve. What course of action do ... (Read 66 times)

Metfan725

  • Hero Member
  • *****
  • Posts: 552

A firm is currently producing in the inelastic portion of its demand curve. What course of action do you recommend for it, assuming it wants to raise revenue?


◦ Continue producing at the current output level, because it maximizes its total revenue by producing in the inelastic portion of its demand curve.
◦ Reduce price, because if it reduces price and demand is inelastic, total revenue will increase.
◦ Increase price, because if it increases price and demand is inelastic, total revenue will increase.
◦ Continue selling at the same price, but increase the amount it produces.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by Metfan725 on Apr 19, 2019

kxciann

  • Sr. Member
  • ****
  • Posts: 356
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
Answer Preview
Only 25% of students answer this correctly




Metfan725

  • Member
  • Posts: 552
Reply 2 on: Apr 19, 2019
:D TYSM


alvinum

  • Member
  • Posts: 317
Reply 3 on: Yesterday
Thanks for the timely response, appreciate it

 

Did you know?

As many as 28% of hospitalized patients requiring mechanical ventilators to help them breathe (for more than 48 hours) will develop ventilator-associated pneumonia. Current therapy involves intravenous antibiotics, but new antibiotics that can be inhaled (and more directly treat the infection) are being developed.

Did you know?

After 5 years of being diagnosed with rheumatoid arthritis, one every three patients will no longer be able to work.

Did you know?

IgA antibodies protect body surfaces exposed to outside foreign substances. IgG antibodies are found in all body fluids. IgM antibodies are the first type of antibody made in response to an infection. IgE antibody levels are often high in people with allergies. IgD antibodies are found in tissues lining the abdomen and chest.

Did you know?

The modern decimal position system was the invention of the Hindus (around 800 AD), involving the placing of numerals to indicate their value (units, tens, hundreds, and so on).

Did you know?

Most fungi that pathogenically affect humans live in soil. If a person is not healthy, has an open wound, or is immunocompromised, a fungal infection can be very aggressive.

For a complete list of videos, visit our video library