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Recently Asked industrial organization Questions
Expert help when you need it- Q1:1. (10 marks) You own a small business servicing the Sandy Bay area. Assume that your business is the only one offering the service you sell and so operate as a monopolist. You are considering spending on advertising to increase the demand for your service. Use the appropriate diagram(s) to investigate potential changes in profits, prices and quantity from a change in demand caused by the advertising campaign (7 marks). Using a diagram, characterise how much you would be willing to spend on advertising given a change in demand (3 marks).See Answer
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