Under price discrimination, a monopolist equates the marginal cost with the average revenues in different markets
a. True
b. False
Indicate whether the statement is true or false
False
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The quantity of newspapers sold will decline if
A. newsprint becomes more expensive. B. the printers’ union makes wage concessions. C. prices are reduced. D. magazine prices rise.
A tariff is a tax on
A) all exported goods imposed by the WTO. B) imported goods. C) shipping containers. D) foreign exchange transactions.
The graph shown best represents:
A. a binding price ceiling.
B. a binding price floor.
C. a missing market.
D. a market for an inferior good.
If the price elasticity of demand for Cheer detergent is 3.0, then a
a. 12 percent drop in price leads to a 36 percent rise in the quantity demanded b. 12 percent drop in price leads to a 4 percent rise in the quantity demanded c. $1,000 drop in price leads to a 3,000-unit rise in the quantity demanded d. $1,000 drop in price leads to a 333-unit rise in the quantity demanded e. 12 percent rise in price leads to a 36 percent rise in the quantity demanded