« previous next »

Author Question: Identify some of the basic assumptions of monopoly.[br][br][b][color=black]Question ... (Read 67 times)

tichca

  • Hero Member
  • *****
  • Posts: 554
on: Jun 30, 2018
Identify some of the basic assumptions of monopoly.

Question 2

A monopolist can charge a high price if:
 a. the quantity demanded of its product is positively related to price.
  b. the demand for its product is relatively price-elastic.
  c. the demand curve for its product is negatively sloped.
  d. the demand for its product is relatively price-inelastic.
  e. there exist a large number of substitutes for its product.


joshraies

  • Sr. Member
  • ****
  • Posts: 351
Reply #1 on: Jun 30, 2018
Answer to Question 1

A monopolist produces a homogeneous product and knows with certainty the demand curve he/she faces. The monopolist always aims to maximize his/her profits and does not consider possible reactions of future competitors.

Answer to Question 2

d


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
« previous next »
 

Did you know?

Cyanide works by making the human body unable to use oxygen.

Did you know?

When blood is exposed to air, it clots. Heparin allows the blood to come in direct contact with air without clotting.

Did you know?

Immunoglobulin injections may give short-term protection against, or reduce severity of certain diseases. They help people who have an inherited problem making their own antibodies, or those who are having certain types of cancer treatments.

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?

Looking at the sun may not only cause headache and distort your vision temporarily, but it can also cause permanent eye damage. Any exposure to sunlight adds to the cumulative effects of ultraviolet (UV) radiation on your eyes. UV exposure has been linked to eye disorders such as macular degeneration, solar retinitis, and corneal dystrophies.

A black first-generation Labrador/Poodle cross puppy (informally referred to as a Labradoodle) only A black first-generation Labrador/Poodle cross puppy (informally referred to as a Labradoodle) only
Basic molecular mechanisms of delayed-type hypersensitivity. Basic molecular mechanisms of delayed-type hypersensitivity.
economic question economic question
economic question economic question
economic question economic question
Neurons and glia: Neurons are the basic functional units of the brain Neurons and glia: Neurons are the basic functional units of the brain
Video: Febrile Seizure

For a complete list of videos, visit our video library