micro10sg - organization. Entrepreneurial judgment cannot...

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ECO 2023 Principles of Microeconomics Chapter 10 Price-Searcher Markets with Low Entry Barriers Key Terms: Competitive price-searcher market Differentiated products Monopolistic competition Price discrimination 3 Goals: #1 - Characterize and explain the output decisions of competitive price- searcher markets. Low entry barriers, downward-sloping demand curves, and differentiated products are characteristics of competitive price-searcher markets and are also referred to as monopolistic competition. #2 - Bring out the role of the entrepreneur in decision making and firm
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Unformatted text preview: organization. Entrepreneurial judgment cannot be incorporated into economic models because of its complexity. The entrepreneur plays a critical role in the development of new products and economic progress. #3 - Justify the practice of price discrimination. Price discrimination is the practice of charging two different groups of consumers different prices for the same good or service. Any firm, except a price-taker, can price discriminate and will do so to improve total profits....
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This note was uploaded on 04/13/2008 for the course ECO 2013 taught by Professor Evans during the Spring '08 term at FSU.

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