One shortcoming of the kinked demand curve model of oligopoly is that it does not explain
A) why the marginal revenue curve is kinked.
B) how the current price gets determined.
C) what the level of profits is for the firm.
D) why the firm is a least-cost producer.

Question

Quizplus · Accepted Answer

The Answer of One shortcoming of the kinked demand curve model of oligopoly is that it does not explain
A) why the marginal revenue curve is kinked.
B) how the current price gets determined.
C) what the level of profits is for the firm.
D) why the firm is a least-cost producer.

One Shortcoming of the Kinked Demand Curve Model of Oligopoly