Price elasticity of the firms demand curve is equal to one
Course:- Business Economics
Reference No.:- EM13795663

Assignment Help >> Business Economics

If a monopolist produces clear spring water at zero total cost, its total revenue will be maximized where,


b The price elasticity of the firm's demand curve is equal to one

c total revenue is maximized

d all of the above

Put your comment

Ask Question & Get Answers from Experts
Browse some more (Business Economics) Materials
What must a person who is claiming they were harassed in the workplace allege in order to first state a case with the EEOC for each of the following types of harassment. I. Se
Income from a certain operation is expected to be zero in years, one through three, after which and beginning at end of year 4, it will be $60000 per year forever. The capital
Increasing returns and imperfect competition: Suppose a new piece of computer software — say a word processor with perfect speech recognition — can be created for a onetime co
A U.S.-based MNC imports 30 percent of its supplies from Europe. Exports to Europe, which are invoiced in Euros, account for approximately 50 percent of its revenues. Explain
Assume that a perfectly competitive, constant cost industry is in a long run equilibrium with 20 firms. Each firm is producing 70 units of output which it sells at the price o
What U.S. government policy has had a distortionary impact on corn production? Describe the far-reaching effects of this policy on the beef industry, illegal immigration and
Fluid Dynamics Company owns a pump that it is contemplating replacing. The old pump has annual operating and maintenance costs of $8,000/year: it can be kept for 4 years more
A monopolist faces market demand given by P = 100 – 3Q. For this market, MR = 100 – 6Q and MC = 25. What quantity of output will the monopolist produce in order to maximize pr