Ayushi Asked a Question
August 12, 2020 6:56 pmpts 30 pts
6. In price-discrimination, a monopolist lowers the price at the market where there is (1) Higher elasticity (2) Lower elasticity (3) Expensive factor price (4) Cheap factor price (1) HT (2) 1t 4 (3) H8 HT 4 (4) The kinked demand curve theory explains that even when the demand condi- tions the -the price- (1) Change, changes (2) Change, remains stable (3) Remain stable, changes (4) Remain stable, rise
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  • Nidhi taparia Best Answer
    7. Option (2) is correct. Kinked demand curve theory postulates that in oligopoly market, prices remain sticky at current level. So even if demand conditions change, prices are sta...
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  • Nidhi taparia thankyou
    6. Monopolist lowers the price in market where (1) elasticity is higher. This is because due to high elasticity, if the monopolist reduces price even a little, he can gain a great...
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