ch 8 Flashcards
(12 cards)
1
Q
what are the characteristics of the monopolistic comeptition model
A
2
Q
what are the cost and varage cost? how do they depend on n?
A
3
Q
What is the demand function, what is the intution?
A
4
Q
How do we derive the price formula from profit maximization?
A
5
Q
When do firms have operating profits, when total profits?
A
6
Q
What is the price at equlibrium, what the total profits?
A
7
Q
How do we represent trade, what is the effect
A
8
Q
What is marginal revenue?
A
9
Q
What is P(Q), what is the slope and the intersect?
A
10
Q
What firms gain from trade, who loses? Which frims are cut off?
A
11
Q
What do trade costs explain?
A
12
Q
When does it make sense to vertically integrate abroad?
A
