A local cable company has its rates set at P = $15 by a regulatory commission. Its current output is 10,000 households and its costs are as follows: ATC = $17; AVC = $14; and MC = $15 . From this, we can tell that this is
a. a fair price, and the firm earns a normal profit
b. a fair price, and the firm earns an economic loss
c. marginal cost pricing, and the firm earns a normal profit
d. marginal cost pricing, and the firm earns an economic loss
e. the same price that an unregulated monopolist would charge
D
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An interest-earning account that can be withdrawn at any time without payment of a penalty is a
A) money market deposit account. B) certificate of deposit. C) savings deposit. D) time deposit.
Today's corporate structures have very little in common with the joint-stock companies of colonial America
Indicate whether the statement is true or false
The Federal Trade Commission:
A. is empowered to hold public hearings to investigate unfair practices. B. prohibits interlocking directorates in interstate industries. C. regulates airline fares. D. regulates such transportation industries as railroads and trucking.
Two goods are complements if:
A. an increase in the price of one good leads to an increase in demand for the other. B. there are no substitutes for either of them. C. people tend to consume either one or the other. D. an increase in the price of one good leads to a decrease in demand for the other.