Use the Following to Answer Questions

question 94

Multiple Choice

Use the following to answer questions:
Figure: Monopoly Profits in Duopoly
-(Figure: Monopoly Profits in Duopoly) The figure Monopoly Profits in Duopoly shows how an industry consisting of two firms that face identical demand curves (D₁) can collude to increase profits. If the firms collude to share the market demand equally, then each firm will act as if its marginal revenue curve is given by:

• A) MR₁.
• B) 2 × MR₁.
• C) MR₂.
• D) MC.

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Definitions:

Cartilaginous Fishes

Fish that have skeletons made entirely of cartilage, such as sharks and rays.

Bony Fishes

Fish that have skeletons primarily made of bone, as opposed to cartilaginous fishes, which have skeletons made of cartilage.

Keel Of The Sternum

The central ridge or projection on the sternum (breastbone) that resembles the keel of a boat, more prominent in some animals like birds for attachment of flight muscles.

Hollow

Having a space or cavity inside; not solid.