Firm Organization and Market Structure

Firm Organization and Market Structure
You wish to sell your home and have hired a real estate agent. When you sell your home the agent will collect a fee equal to 6% of the sale price. What is the goal of the real estate agent? Is his/her goal the same as your goal? Explain how any difference in goals could affect the final price at which you sell your home. Consider in particular your willingness to lower your asking price versus your agent’s willingness to lower your asking price. Is the impact of lowering the asking price the same for you and your agent?