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

Author Question: The Lerner Index is A) the ratio of the difference between price and marginal cost to price. B) ... (Read 150 times)

wenmo

  • Hero Member
  • *****
  • Posts: 540
on: Jul 1, 2018
The Lerner Index is
 
  A) the ratio of the difference between price and marginal cost to price.
  B) equal to (Price - MC)/Price.
  C) a measure of market power.
  D) All of the above.

Question 2

In a competitive market where the elasticity of the market demand curve is -1.5, the number of firms is 20, and an individual firm faces a residual demand curve with an elasticity of -68. What is the elasticity of the supply curve?
 
  A) 0.5
  B) 1.2
  C) 2
  D) Cannot be determined.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

enass

  • Sr. Member
  • ****
  • Posts: 380
Reply #1 on: Jul 1, 2018
Answer to Question 1

D

Answer to Question 2

C


wenmo

  • Member
  • Posts: 540
Reply 2 on: Jul 1, 2018
Thanks for the timely response, appreciate it

bblaney

  • Member
  • Posts: 323
Reply 3 on: Yesterday
Excellent

« previous next »
 

Did you know?

Though methadone is often used to treat dependency on other opioids, the drug itself can be abused. Crushing or snorting methadone can achieve the opiate "rush" desired by addicts. Improper use such as these can lead to a dangerous dependency on methadone. This drug now accounts for nearly one-third of opioid-related deaths.

Did you know?

Russia has the highest death rate from cardiovascular disease followed by the Ukraine, Romania, Hungary, and Poland.

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?

Since 1988, the CDC has reported a 99% reduction in bacterial meningitis caused by Haemophilus influenzae, due to the introduction of the vaccine against it.

Did you know?

About 100 new prescription or over-the-counter drugs come into the U.S. market every year.

Independent assortment of chromosomes at meiosis explains Mendel’s ratio Independent assortment of chromosomes at meiosis explains Mendel’s ratio
The Increasing Cost of Health Care, 1960–2010 The Increasing Cost of Health Care, 1960–2010
Heat Index Heat Index
With a three-way catalytic converter, emission control is most efficient with an air–fuel ratio ... With a three-way catalytic converter, emission control is most efficient with an air–fuel ratio ...
Carbon Isotope ratio Carbon Isotope ratio
U.S. Subsurface Coal Mining: Output, Price, and Output per Worker-Hour, 1949–1994 U.S. Subsurface Coal Mining: Output, Price, and Output per Worker-Hour, 1949–1994
Video: Bone tissue types - compact and spongy

For a complete list of videos, visit our video library