P11.10 Generic Competition. The Federal Trade Commission seeks to ensure that the process of bringing new low-cost
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P11.10 Generic Competition. The Federal Trade Commission seeks to ensure that the process of bringing new low-cost generic alternatives to the marketplace and into the hands of consumers is not impeded in ways that are anticompetitive. To illustrate the potential for economic profits from delaying generic drug competition for 1 year, consider cost and demand relationships for an important brand-name drug set to lose patent protection 77? = $10.250-$0.01 Q 2
MR = dTR/dQ = $ 10.25 - $0.02Q TC = $625 + $0,250 + $0.0025Q2 MC = dTC/dQ = $0.25 + $0.005Q?
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