Shift in demand leads to Change in Price but Same Output MC MR Quantity
31 Shift in Demand Leads to Change in Price but Same Output D 2 MR 2 D1 MR1 Quantity MC $/Q P 2 P1 Q1= Q 2
Shift in demand leads to Change in output but same price MC 2 2 Quantity 32
32 Shift in Demand Leads to Change in Output but Same Price D1 MR1 MC $/Q MR 2 D 2 P1 = P 2 Q1 Q 2 Quantity
There is no supply curve under Monopoly: Summary -In perfect competition, the market supply curve is determined by marginal cost. For a monopoly output is determined by marginal cost and the shape of the demand curve 33
33 There is no Supply Curve under Monopoly: Summary In perfect competition, the market supply curve is determined by marginal cost. For a monopoly, output is determined by marginal cost and the shape of the demand curve
Markup Pricing(加成定价)and Monopoly power(垄断力) a Monopoly is rare. a However, a market with several firms each facing a downward sloping demand curve will produce so that price exceeds marginal cost 34
34 Markup Pricing(加成定价) a n d Monopoly Power（垄断力） Monopoly is rare. However, a market with several firms, each facing a downward sloping demand curve will produce so that price exceeds marginal cost
Markup Pricing(加成定价)in Monopoly Markup pricing: Output price is the marginal cost of production plus a “ markup How big is a monopolist' s markup and how does it change with the own-price elasticity of demand?
35 Markup Pricing(加成定价) in Monopoly Markup pricing: Output price is the marginal cost of production plus a “markup. ” How big is a monopolist’s markup and how does it change with the own-price elasticity of demand?