2
answers
0
watching
198
views
29 Sep 2019
Consider the following market demand schedule and total costs for a monopoly.
Q
P
TR
TC
MR
MC
Profit
0
45
4
1
40
9
2
35
19
3
30
39
4
25
61
5
20
91
6
15
130
7
10
172
a) Fill in the blanks.
b) How is the relationship between price and MR different between monopolistic and perfectly competitive markets?
c) Would the demand curve facing a monopolistic competitive market be more or less elastic than the demand curve facing a monopolist, why? Do firms in a monopolistically competitive market make long-run economic profits, why or why not?
Consider the following market demand schedule and total costs for a monopoly.
Q | P | TR | TC | MR | MC | Profit | ||||||||||||||||||||
0 | 45 | 4 | ||||||||||||||||||||||||
1 | 40 | 9 | ||||||||||||||||||||||||
2 | 35 | 19 | ||||||||||||||||||||||||
3 | 30 | 39 | ||||||||||||||||||||||||
4 | 25 | 61 | ||||||||||||||||||||||||
5 | 20 | 91 | ||||||||||||||||||||||||
6 | 15 | 130 | ||||||||||||||||||||||||
7 | 10 | 172 |
a) Fill in the blanks.
b) How is the relationship between price and MR different between monopolistic and perfectly competitive markets?
c) Would the demand curve facing a monopolistic competitive market be more or less elastic than the demand curve facing a monopolist, why? Do firms in a monopolistically competitive market make long-run economic profits, why or why not?
syedazmath1627Lv10
3 Feb 2023
Chika IlonahLv10
29 Sep 2019
Already have an account? Log in