The simple case of pricing with market power assumes (a) all consumers are charged the same price, (b) the firm sells one product, and (c) demand exists in one time period. Discuss what happens as each assumption is relaxed.

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The simple case of pricing with market power assumes (a) all consumers are charged the same price, (b) the firm sells one product, and (c) demand exists in one time period. Discuss what happens as each assumption is relaxed.

The simple case of pricing with market power assumes (a) all consumers are charged
the same price, (b) the firm sells one product, and (c) demand exists in one time
period. Discuss what happens as each assumption is relaxed.
Transcribed Image Text:The simple case of pricing with market power assumes (a) all consumers are charged the same price, (b) the firm sells one product, and (c) demand exists in one time period. Discuss what happens as each assumption is relaxed.
What happens to producer surplus and consumer
surplus if transactions costs are
reduced?
Transcribed Image Text:What happens to producer surplus and consumer surplus if transactions costs are reduced?
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