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Business, 12.03.2021 16:10, blacklifewed
Why is the ratio of the monopoly's price to its marginal cost, , smaller, the more elastic the demand curve at the optimum quantity? Can the demand curve be inelastic at that quantity? The ratio of the monopoly's price to its marginal cost, , is smaller the less elastic the demand curve is at the optimum quantity because, as a function of , nothing. (Properly format your expression using the tools in the palette. Hover over tools to see keyboard shortcuts. E. g., a fraction can be created with the / character.)
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