Explain why a price-setting firm will always set its revenue-maximizing price below the price that would maximize

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Explain why a price-setting firm will always set its revenue-maximizing price below the price that would maximize its profit.

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Managerial Economics

ISBN: 978-0133020267

7th edition

Authors: Paul Keat, Philip K Young, Steve Erfle

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Question Posted: Jun 20, 2016 12:33 AM

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Explain why a price-setting firm will always set its revenue-maximizing price below the price that would maximize

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Revenue is maximized when marginal revenue becomes zero Pro...View the full answer

Managerial Economics

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