menu-iconExamlexExamLexServices

Discover

Ask a Question
  1. All Topics
  2. Topic
    Business
  3. Study Set
    Principles of Economics Study Set 12
  4. Exam
    Exam 10: Monopoly
  5. Question
    If Output Price Is $4 and Marginal Cost Is $1
Solved

If Output Price Is $4 and Marginal Cost Is $1

Question 11

Question 11

Essay

If output price is $4 and marginal cost is $1, calculate the price elasticity of demand according to the rule of thumb given in the text.

Correct Answer:

verifed

Verified

1.33
Ed = 1/price-c...

View Answer

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Q6: Barriers to entry do not exist for

Q7: A monopoly will expand output until total

Q8: A profit-maximizing monopoly might choose to produce

Q9: Which of the following is true of

Q10: Which of the following is not a

Q12: A monopoly's demand curve most likely<br>A)is less

Q13: When price equals marginal cost,<br>A)a monopoly should

Q14: The monopolist is the sole seller of

Q15: What are some reasons for a monopoly

Q16: Government licensing policies can eliminate monopolies.

Examlex

ExamLex

About UsContact UsPerks CenterHomeschoolingTest Prep

Work With Us

Campus RepresentativeInfluencers

Links

FaqPricingChrome Extension

Download The App

Get App StoreGet Google Play

Policies

Privacy PolicyTerms of ServiceHonor CodeCommunity Guidelines

Scan To Download

qr-code

Copyright © (2025) ExamLex LLC.

Privacy PolicyTerms Of ServiceHonor CodeCommunity Guidelines