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Business, 22.07.2019 22:20 anthonygarib24
Suppose that a textbook publisher faces a downward-sloping demand curve. let p(q) be the price for the textbooks and q be the number of copies of the textbook. compare the equilibria for the following compensation methods in which the author receives the same total compensation from each method: a. the author is paid a lump sum, upper l 1. b. the author is paid alpha 1 share of the revenue. c. the author receives a lump-sum payment, upper l 2, and a alpha 2 share of the revenue. let c(q) be the cost of producing textbooks, mc be marginal cost, and demand be linear and equal to p(q)equalsaminusbq. the equilibrium quantity with the author receiving a lump sum of upper l 1 is qequals nothing. (properly format your expression using the tools in the palette.)
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Suppose that a textbook publisher faces a downward-sloping demand curve. let p(q) be the price for t...
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