There are two formulas that define the Ramsey pricing rule. One uses demand functions at regulated prices and at marginal costs. The uses the elasticities of demand and a measure of the common fixed cost. Write these two formulas.

Question

Quizplus · Accepted Answer

The Answer of There are two formulas that define the Ramsey pricing rule. One uses demand functions at regulated prices and at marginal costs. The uses the elasticities of demand and a measure of the common fixed cost. Write these two formulas.

There Are Two Formulas That Define the Ramsey Pricing Rule