One problem with regulating a monopolist on the basis of cost is that
a. by focusing on costs, the regulators ignore profits.
b. it does not provide an incentive for the monopolist to reduce its cost.
c. a monopolist's costs, by definition, are higher than costs of perfectly competitive firms.
d. a monopolist is still able to generate excessive economic profits.
b
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Discuss the relationship between U.S. competitiveness relative to other countries and standards of living in the United States
What will be an ideal response?
Which of the following is true of the market for labor?
A) Workers are the suppliers of labor. B) Workers are the demanders of labor. C) The labor supply curve is perfectly elastic. D) The labor demand curve is perfectly elastic.
Define a corporation
What will be an ideal response?
If Gorgeous Sands Resort has a constant marginal cost of $15,000 for each resort unit and a constant marginal cost of $750 for operating each resort unit, what is Gorgeous Sands Resort's long-run marginal cost per resort unit?
A) $750 B) $14,250 C) $15,000 D) $15,750