With rent seeking by a monopoly
A) the monopolist's average total costs will increase so that its average total cost curve is tangent to the demand curve at the profit-maximizing price.
B) a monopoly uses all of what would be its economic profit to prevent other firms from taking its economic rent.
C) the full deadweight loss of monopoly is larger than in the absence of rent seeking.
D) All of the above answers are correct.
D
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Using the data in the above table, the labor force is ________ million
A) 215 B) 120 C) 125 D) 165
The graph shown exhibits constant returns to scale:
A. in region a. B. in region c. C. in regions a, b, and c. D. in region b.
As compared to a pollution tax, a command-and-control policy will:
A. increase production costs by a smaller amount. B. increase price by a smaller amount. C. shift the supply curve to the left by a smaller amount. D. shift the supply curve to the left by a larger amount.
Who said, "We might as reasonably dispute whether it is the upper or the under blade of a pair of scissors that cuts a piece of paper" as whether price is set by demand or supply?
A. Thomas Carlyle B. Alfred Marshall C. Adam Smith D. Edward Scissorhands