Economics · Microeconomics
Franco Modigliani presented a model of limit pricing based on the following assumptions EXCEPT:
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 1Established firms act according to Sylos's Postulate.
- 2Products are heterogeneous in nature.✓
- 3Entry occurs at the minimum optimal scale of plant.
- 4Technology is identical for all existing and potential firms in the industry.
Correct answer
Products are heterogeneous in nature.
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