Sem Flashcards
1
Q
Inverse demand curve what is it equal to
A
P(q)
Note that p(q(p))
2
Q
P(q)
A
A -bq
3
Q
What do we assume costs are in stackelberg
A
0
4
Q
When can price discrimination be used
A
firms have a degree of market power
Firms can prevent resale
5
Q
Requirement of third degree price discrimination
A
Consumers have different elasticities of demand
