The existence of a natural monopoly stems from the size of the firm relative to the total market demand for the product of that firm
a. True
b. False
Indicate whether the statement is true or false
True
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Decisions by ________ about their holdings of currency and by ________ about their holdings of excess reserves affect the money supply
A) borrowers; depositors B) banks; depositors C) depositors; borrowers D) depositors; banks
Engerman's (1971) studies of the Civil War (1861–1865)'s impact on industrialization
(a) support the previous work of Hacker and Beard. (b) showed that the War sped up the ongoing processes of industrialization. (c) showed that the War effort slowed down industrialization. (d) restricted the real cost of the War to the South.
Throughout U.S. history labor and physical capital have been
(a) input substitutes and complements. (b) output substitutes and complements. (c) product displacements. (d) mixed outputs.
In the above figure, if this natural monopolist were forced to use marginal cost pricing, it would produce
A) at Q1 output rate. B) at Q2 output rate. C) at Q3 output rate. D) past the Q3 output rate.