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Assume that the monopolistic competitor produces tractors. She incurs fixed production costs of $750,000,000 and marginal costs of $5,000. The demand parameter is b=1/30,000. The
Assume that the monopolistic competitor produces tractors. She incurs fixed production costs of $750,000,000 and marginal costs of $5,000. The demand parameter is b=1/30,000. The total annual tractor sales in the Home market is 900,000 tractors
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Managerial Economics and Business Strategy
Authors: Michael Baye, Jeff Prince
8th edition
9780077802615, 73523224, 77802616, 978-0073523224
