Suppose in the Ice-Cream Market with 10 Firms,the Elasticity of Market

question 97

Multiple Choice

Suppose in the ice-cream market with 10 firms,the elasticity of market demand is -1,and each firm has a constant marginal cost at $2.The Nash-Cournot equilibrium price is

• A)$2.
• B)$2.2.
• C)$2.4.
• D)$2.5.

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Definitions:

Analytic Marxism

A school of thought that seeks to reinterpret and revitalize Marxist theory by incorporating methods and insights from analytical philosophy and rational choice theory.

Historical Facts

Information or events that have been documented and verified as having occurred in the past.

Neo-Marxism

A strand of Marxist theory that combines elements of traditional Marxism with other intellectual traditions such as critical theory, aiming to update and reinvigorate Marxist analysis for contemporary conditions.

World-Systems Theory

A multidisciplinary approach to world history and social change that suggests there is a world economic system in which some countries benefit while others are exploited.