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Q. Q. Here is some data on the demand for marshmallows:
Price Quantity$10 100$ 8 300$ 6 700$ 4 1300$ 2 2200
(a.) Is demand elastic or inelastic in the $6-$8 price range? Elucidate how do you know?
(b.) If the table represents the demand faced by a monopoly firm, then Illustrate what is which firm's marginal revenue as it increases output from 1300 units to 2200 units? Elucidate how all work.
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If the value of M increased from 50,000 to 60,000 also nothing else changed which would equilibrium price increase or decrease. Would the equilibrium quantity increase or decrease.
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