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

Author Question: The demand curve an individual competitive firm faces is known as its A) excess demand curve. B) ... (Read 105 times)

dejastew

  • Hero Member
  • *****
  • Posts: 562
on: Jul 1, 2018
The demand curve an individual competitive firm faces is known as its
 
  A) excess demand curve.
  B) market demand curve.
  C) residual demand curve.
  D) leftover demand curve.

Question 2

Would it ever make sense for a firm to charge a price at or below the cost of the product?
 
  What will be an ideal response?


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

gstein359

  • Sr. Member
  • ****
  • Posts: 293
Reply #1 on: Jul 1, 2018
Answer to Question 1

C

Answer to Question 2

This might be an example of penetration pricing in which the firm is trying to gain market share. (Two other reasons not discussed in the text: limit pricing to prevent entry, and predatory pricing to drive out rivals.)


dejastew

  • Member
  • Posts: 562
Reply 2 on: Jul 1, 2018
YES! Correct, THANKS for helping me on my review

alexanderhamilton

  • Member
  • Posts: 334
Reply 3 on: Yesterday
Gracias!

« previous next »
 

Did you know?

The use of salicylates dates back 2,500 years to Hippocrates’s recommendation of willow bark (from which a salicylate is derived) as an aid to the pains of childbirth. However, overdosage of salicylates can harm body fluids, electrolytes, the CNS, the GI tract, the ears, the lungs, the blood, the liver, and the kidneys and cause coma or death.

Did you know?

Drying your hands with a paper towel will reduce the bacterial count on your hands by 45–60%.

Did you know?

Cytomegalovirus affects nearly the same amount of newborns every year as Down syndrome.

Did you know?

In 1835 it was discovered that a disease of silkworms known as muscardine could be transferred from one silkworm to another, and was caused by a fungus.

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.

Unique markings identify individual humpback whales. Unique markings identify individual humpback whales.
(a) The Dmanisi cranium (right) shows similarities to early African H. erectus including the Narioko (a) The Dmanisi cranium (right) shows similarities to early African H. erectus including the Narioko
How to find the equation of a cosine curve How to find the equation of a cosine curve
Gently squeeze/milk the arm with twisting motion. With oil or lotion on hands, use gentle but firm ... Gently squeeze/milk the arm with twisting motion. With oil or lotion on hands, use gentle but firm ...
IQ scores form what mathematicians call a normal distribution "bell curve" IQ scores form what mathematicians call a normal distribution "bell curve"
Suppose the market supply curve is p = 5Q. If price increases from 10 to 15, the change in ... Suppose the market supply curve is p = 5Q. If price increases from 10 to 15, the change in ...
Video: Brain Lobes Animation

For a complete list of videos, visit our video library