Question
A firm has $1.5 million in sales, a Lerner index of 0.57, and a marginal cost of $50, and competes against 800 other firms in
A firm has $1.5 million in sales, a Lerner index of 0.57, and a marginal cost of $50, and competes against 800 other firms in its relevant market.
Instructions:Enter your responses rounded to the nearest two decimal places.
a. What price does this firm charge its customers?
$
b. By what factor does this firm mark up its price over marginal cost?
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International Economics
Authors: Robert Carbaugh
15th edition
1285854357, 978-1305177093, 1305177096, 978-1285854359
