This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Suppose two firms produce close substitutes such that reducing the price of one product reduces the ... (Read 36 times)

vinney12

  • Hero Member
  • *****
  • Posts: 586
on: Jul 21, 2019
Suppose two firms produce close substitutes such that reducing the price of one product reduces the quantity demanded of the other. If those two firms merge:
◦ they will eliminate the less profitable product and sell only one.
◦ they can earn higher profits by continuing to sell both products if the profit gained from increased sales of one product are greater than the lost profits from reduced sales of the other product.
◦ they will raise prices on both products.
◦ they will be unable to earn higher profits because the two products will compete against each other.
Microeconomics: Principles, Applications and Tools ¦ O'Sullivan, Sheffrin, Perez ¦ 8th Edition
Buy Test-Bank


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by vinney12 on Jul 21, 2019

britb2u

  • Sr. Member
  • ****
  • Posts: 331
Reply #1 on: Jul 21, 2019
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 50% of students answer this correctly


vinney12

  • Hero Member
  • *****
  • Posts: 586
Reply #2 on: Jul 21, 2019
Thanks


britb2u

  • Sr. Member
  • ****
  • Posts: 331
Reply #3 on: Jul 21, 2019
Welcome :)


« previous next »
 

Did you know?

More than one-third of adult Americans are obese. Diseases that kill the largest number of people annually, such as heart disease, cancer, diabetes, stroke, and hypertension, can be attributed to diet.

Did you know?

The Babylonians wrote numbers in a system that used 60 as the base value rather than the number 10. They did not have a symbol for "zero."

Did you know?

Congestive heart failure is a serious disorder that carries a reduced life expectancy. Heart failure is usually a chronic illness, and it may worsen with infection or other physical stressors.

Did you know?

Pope Sylvester II tried to introduce Arabic numbers into Europe between the years 999 and 1003, but their use did not catch on for a few more centuries, and Roman numerals continued to be the primary number system.

Did you know?

Certain topical medications such as clotrimazole and betamethasone are not approved for use in children younger than 12 years of age. They must be used very cautiously, as directed by a doctor, to treat any child. Children have a much greater response to topical steroid medications.

Aerial and close-up views of a large biodiversity experiment in Cedar Creek, Minnesota. Each of the Aerial and close-up views of a large biodiversity experiment in Cedar Creek, Minnesota. Each of the
Bonobo females form close alliances, maintained through sex, but these alliances are lacking in chim Bonobo females form close alliances, maintained through sex, but these alliances are lacking in chim
The Procedure Used to Produce Conditioned Emotional Responses The Procedure Used to Produce Conditioned Emotional Responses
Close-up view of a diaphragm amplifier on the left and a bell amplifier on the right Close-up view of a diaphragm amplifier on the left and a bell amplifier on the right
Competitive firms and maximization Competitive firms and maximization
Video: Biological organic compounds

For a complete list of videos, visit our video library