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Erratum

The Review of Economic Studies · 1973 · Volume 40 · Issue 3

DOI: 10.1093/restud/40.3.i

Abstract

Omitted from the discussion of the demand curve was the fact that the function includes a linear piece joining the curve at price equals $400 and going to zero demand at price equals $500. This segment was added to avoid the property of the rest of the demand curve that the monopoly price or the cartel joint profit-maximizing price can be infinite.

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