ECO401 Mid Term Current Paper (Dec 2010)
most of the mcqs from elasticy chapter Explain the two main theories of production regarding time.5marks
A. What are the effects of price discrimination on the profit and loss of a firm?
B. There are certain conditions for price discrimination to hold. Discuss those conditions. 5marks
Assuming that supernormal profits can be made in the short run in a monopolistically competitive industry; will there be any difference in the long-run and short-run elasticity of demand?3 mark Why the income consumption curve is often drawn as positively sloped at low levels of income? 3 marks
