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kodan kodan
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5 years ago
Suppose that a regulated industry experiences an increase in the price of inputs used to produce the good. According to the capture theory, we would expect
A) prices to increase by a little immediately and profits to decrease by a lot.
B) there will be some increase in price but not immediately.
C) no increase in price.
D) a quick increase in price maintains profits in the industry.
Textbook 
Economics Today: The Micro View

Economics Today: The Micro View


Edition: 19th
Author:
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rockintictacorockintictaco
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5 years ago
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kodan Author
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#2
5 years ago
Thank you, thank you, thank you!
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