Suppose there are 20 competitive firms in a market. The supply curve of each firm is q = 2p. The market demand is Q = 200 - 2p. What is the residual demand curve facing a typical firm?
What will be an ideal response?
The residual demand curve is equal to the market demand curve minus the supply of all the other firms. The supply of the other 19 firms is 38p. The residual demand is 200 - 40p.
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Why do health insurance companies ask their potential customers to submit their previous medical records?
What will be an ideal response?
The change in demand deposits varies directly with
A) the currency ratio. B) the reserve ratio on demand deposits. C) the monetary base. D) the reserve ratio on time deposits.
Early in the 20th century the American Medical Association strongly encouraged _____
a. HMOs b. Medicare c. Medicaid d. fee-for-service medical care
Refer to the table below. If the senior manager learns that either a Good or Fair market will exist when the drug is introduced to the market, which drug should the senior manager not pursue?
The senior manager of Rx Pharmaceuticals needs to decide which of three drugs the company should consider developing. The estimated profit for each of the drugs differs depending on the market conditions when the respective drugs are introduced to the market. The above table summarizes the estimated profit for each drug under each of the three market conditions; Good, Fair, and Poor.
A) Drug X
B) Drug Z
C) Drug Y
D) all of the drugs