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Suppose that a monopolist hmm, CKD, faces a domestic demand curve given by Q - 3,000 - 3P. Your domestic cost of production involves domestic
Suppose that a monopolist hmm, CKD, faces a domestic demand curve given by Q - 3,000 - 3P. Your domestic cost of production involves domestic costs per unit of 300 and a foreign cost per unit produced of 140, If the real exchange rate is 1.8, what would be the price CKD would charge and the quantity CKD would sell? The price the firm would charge is 785, the quantity the firm would sell is 845 O The price the firm would charge is 740, the quantity the firm would sell is 780 The price the firm would charge is 733.33: the quantity the firm would sell is O The price the firm would charge is 726.67: the quantity the firm would sell is 820 The price the firm would charge is 776: the quantity the firm would sell is 672
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