Micro Economics intersection point

Business & Finance, Economics, Microeconomics
Cover of the book Micro Economics intersection point by Homework Help Classof1, Classof1
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Author: Homework Help Classof1 ISBN: 1230000114238
Publisher: Classof1 Publication: March 11, 2013
Imprint: Language: English
Author: Homework Help Classof1
ISBN: 1230000114238
Publisher: Classof1
Publication: March 11, 2013
Imprint:
Language: English

A company in an oligopolistic industry has identified two sets of demand curves. If the company is the only one that changes prices (that is, other companies don’t follow its lead), its demand curve is Q = 82 – 8P.  If, however, it is expected that competitors will follow the price actions of the company, then the demand curve will be Q = 44 – 3P.

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A company in an oligopolistic industry has identified two sets of demand curves. If the company is the only one that changes prices (that is, other companies don’t follow its lead), its demand curve is Q = 82 – 8P.  If, however, it is expected that competitors will follow the price actions of the company, then the demand curve will be Q = 44 – 3P.

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