dejuanriley6521 dejuanriley6521
  • 18-11-2022
  • Business
contestada

in the hotelling linear city model, where will firms tend to locate if price competition is not very intense?

Respuesta :

jaiswaljyoti jaiswaljyoti
  • 29-11-2022

Firms tend to locate far away places.

If the price difference is not that big, The Hotelling Linear City Model suggests that firms and businesses will move far away from the main city centre as it ensures low expenses for the firm.


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