What is the demand relation in the industry segment

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A particular segment of the medical device industry is dominated by a handful of firms. These firms have combined into an effective cartel. All firms in the cartel have the same cost structure with zero fixed costs and each has constant marginal cost of $4,000 (therefore, the industry MC is also constant at $4,000). The demand relation in this industry segment is: Qd = 100,000 - 20P (Demand)

Reference no: EM13204237

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