1.6. When pricing automobiles, American car companies typically charge a much higher percentage markup over cost for...

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1.6. When pricing automobiles, American car companies typically charge a much higher percentage markup over cost for “luxury option” items

(such as leather trim, etc.) than for the car itself or for more “basic” options such as power steering and automatic transmission. Explain why.

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Microeconomics

ISBN: 9780132080231

7th Edition

Authors: Robert S. Pindyck, Daniel L. Rubinfeld

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Question Posted: Oct 26, 2024 04:01 AM

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1.6. When pricing automobiles, American car companies typically charge a much higher percentage markup over cost for...

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Microeconomics

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