The monopolist is able to enjoy profits in the long run because:
A. the firm's price is set above its marginal costs.
B. there is no threat of competition.
C. the firm can charge a price higher than its average total costs in the long run.
D. All of these statements are true.
D. All of these statements are true.
You might also like to view...
If the price of inputs rises and consumer expectations about future economic activity worsens:
a. Price index rises, and the change in real GDP is uncertain. b. Price index falls, and real GDP rises. c. The change in price index is uncertain, and real GDP rises. d. The change in price index is uncertain, and real GDP falls. e. Price index falls, and the change in real GDP is uncertain.
According to the Coase theorem, the private market will need government intervention in order to reach an efficient outcome
a. True b. False Indicate whether the statement is true or false
Consider the labor market for short-order cooks. A shortage in the availability of frying pans will cause
a. both equilibrium wages and equilibrium employment to increase. b. both equilibrium wages and equilibrium employment to decrease. c. equilibrium wages to increase and equilibrium employment to decrease. d. equilibrium wages to decrease and equilibrium employment to increase.
After graduating from college, you receive job offers from five different accounting firms. All job offers have a different compensation package. Is it irrational for you to accept an offer that doesn't provide the highest level of monetary compensation? Use the concept of compensating differentials to explain your answer