Now, assume your buffalo wing firm is in a Cournot oligopoly with 3 additional firms. The market elasticity of demand for buffalo wings is -0.70. Find your firm’s elasticity of demand. Now find the profit-maximizing price for your firm if your marginal cost is $3.70.
Now, assume your buffalo wing firm is in a Cournot oligopoly with 3 additional firms. The market elasticity of demand for buffalo wings is -0.70. Find your firm’s elasticity of demand. Now find the profit-maximizing price for your firm if your marginal cost is $3.70.
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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In this assignment, we’re assuming you’re a manager of different types of buffalo wing restaurants. I’ll give different scenarios- some will require math and others will require writing.
Cournot Oligopoly
2. Now, assume your buffalo wing firm is in a Cournot oligopoly with 3 additional firms. The market
Now find the profit-maximizing price for your firm if your marginal cost is $3.70.
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