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Posted: August 1st, 2023

Askari College for Women, Rawalpindi S 121 – Demand Schedule for Gadgets

(Table: Demand Schedule for Gadgets) Look at the table Demand Schedule for Gadgets. The market for gadgets is dominated by two producers, Margaret and Ray. Each firm can produce gadgets at a marginal cost of $2. The table shows the market demand schedule for gadgets. Suppose that these two producers have formed a cartel and are maximizing total industry profits. If Margaret decides to cheat on the agreement and sell 100 more gadgets, how many gadgets will Margaret sell?

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