To answer the next question, use the following table, which shows the demand schedule faced by Ninaskets, a pure monopoly selling baskets.PriceNumber of Baskets Sold$203185167141012151030What is the change in total revenue if the pure monopoly lowers the price from $20 to $18?
A. $10
B. $20
C. $30
D. $40
Answer: C
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An economic policy has a decent chance of working as intended, if ________
A) the policy causes no change in expectations B) if mistaken expectations are not very costly C) the rationale behind the policy is well-understood by the public D) expectations are formed in the same way by both the public and the policymakers
If 12 candy bars are demanded at $0.30 each and 4 candy bars are demanded at $0.50 each, what is the elasticity of demand over the price range from $0.30 to $0.50?
a. 2 b. 1.67 c. 0.5 d. 7.5 e. 0.4
The figure above shows the demand and cost conditions for a firm with two plants. What is the profit-maximizing price?
A. $20 B. $30 C. $40 D. $50 E. $60
If the music industry was perfectly competitive, then all performers would
A. produce a non-standardized product. B. charge the same price for concerts, but not necessarily play the same music. C. play the same music, but not necessarily charge the same price for concerts. D. play the same music and charge the same price for concerts.