When the number of substitutes increase, the demand curve for a monopolist will
A. become steeper.
B. become more inelastic.
C. become more elastic.
D. not change.
Answer: C
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Probabilities, which are based on past data or experience, are called
A) a priori. B) objective. C) uncertain. D) statistical.
You only need to know the amount of goods and services produced in an economy to compute real GDP
a. true b. false
Exhibit 2-11 Production possibilities curves
In Exhibit 2-11, which of the following could have caused the production possibilities curve to shift from the one labeled B to the one labeled A?
A. A major natural disaster. B. An increase in resources. C. An advance in technology. D. A decrease in unemployment.
Both a perfectly competitive firm and a monopolist find that:
A. price is less than marginal revenue. B. it is best to expand production until the benefit and the cost of the last unit produced are equal. C. they can sell as many units of output as they want at the market price. D. price and marginal revenue are the same.