As a Result of the Assumptions of a Kinked Demand

question 291

Multiple Choice

As a result of the assumptions of a kinked demand curve model

• A) the portion of the demand curve above the kink is less elastic than below the kink.
• B) the portion of the demand curve above the kink is more elastic than below the kink.
• C) the MR curve is a continuous line.
• D) oligopoly prices are unstable.

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