--%>
Assignment Help - homework help

Demand curve of an oligopolist

The demand curve an oligopolist faces is kinked at the current price when other firms into the industry: (1) face unitary elasticity of demand at their current output levels.(2) will match any price cuts although not price hikes. (3) follow only the dominant firm's price leadership. (4) will match price increases although not price cuts. (5) have higher costs or technologically obsolete production facilities.

Can anybody suggest me the proper explanation for given problem regarding Economics generally?

   Related Questions in Microeconomics

  • Q : Expectations of short run effect Most

    Most of the consumers and investors have learned via experience that ‘new’ high-tech equipment becomes outdated quickly, and that prices drop by roughly half annually. They adjust by delaying purchases, waiting for estimated higher quality and lower prices

    		•
  • Q : Relationship between MPP and TPP If MPP

    If MPP is zero, what can you state regarding TPP? Answer: TPP is at its maximum.

    		•
  • Q : Imperfect competition-Firms having

    As MRP < VMP in imperfect competition whenever firms encompass market power as sellers then: (1) MPPL = VMP. (2) The price of output surpasses MFC. (3) Monopolistic exploitation becomes essential to get profit. (4) Imperfect competition can’t reach the equili

    		•
  • Q : Demonstrate supply curve for price

    The quantity supplied is ever more sensitive as output increases, therefore the price elasticity of supply raises as the price raises for the supply curve demonstrated in: (w) Panel A. (x) Panel B. (y) Panel C. (z) Panel D.

  • Q : Kinked demand curves and sticky prices

    Sticky prices within oligopoly markets are: (w) predicted by the kinked demand curve model. (x) substantiated by many statistical studies. (y) most common for highly differentiated products. (z) a result of price discrimination.

    Q : Goods and services Refer to the above

    Refer to the above data. Choose the right answer from following. Zabella's balance on goods and services illustrates a: A) $5 billion deficit. B) $5 billion surplus. C) $10 billion surplus. D) $15 billion deficit.

    Q : Formula for economic profit Can someone

    Can someone please help me in finding out the precise answer from the following question. The firm’s total revenue minus its net economic costs equivalents its: (1) Economic profit. (2) Taxable income. (3) Marginal income. (4) Accounting profit. (5) Psychic inco

    		•
  • Q : What is fiscal deficit Fiscal deficit :

    Fiscal deficit: When TE (RE + CE) > TR (RR + CR) of the government, excluding borrowing. It is termed as fiscal deficit.

    		•
  • Q : Classified industries as oligopolistic

    Industries which would be classified as oligopolistic comprise: (w) public utilities. (x) postal service. (y) breakfast cereal. (z) retailing. Hello guys I want your advice. Please recommend some views for above

  • Q : Negative externalities Give the answer

    Give the answer of following question. Negative externalities arise: A) when firms pay more than the opportunity cost of resources. B) when the demand curve for a product is located too far to the left. C) when firms "use" resources without being compelled to pay for

    		•