Question
Consider the demand function Q = 2,000*P -1.5 .We can write total revenue as TR = P*Q.Suppose the firm is considering reducing price from P
Consider the demand function Q = 2,000*P-1.5.We can write total revenue as TR = P*Q.Suppose the firm is considering reducing price from P = 4.5 to P = 4.4.What is the marginal revenue MR = TR/Q from this price change?
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Principles of Microeconomics
Authors: N. Gregory Mankiw
8th edition
1305971493, 978-1305971493
