Chapter 1
Substituting into the demand function yields a ph= 25.50 for the brand-label shirts. For the store label, 10 + 25.50 - 2q1 = 1 or q1 = 17.25. The store-label shirts sell for 18.25. Diff: 1. Topic: Price Discrimination Due to False Beliefs about Quality. 9) Describe how a firm that sells only one brand of bleach may be able to increase its ................
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