A monopolist that does not price discriminate will set the output level where
a. P = MC
b. P = MR
c. TR = TC
d. MR = MC
e. P = ATC
D
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How are changes in inventory treated in GDP?
What will be an ideal response?
Refer to Table 20-13. Consider a simple economy that produces only three products: tacos, earplugs, and toothbrushes. Use the information in the table to calculate the inflation rate for 2016, as measured by the consumer price index
What will be an ideal response?
Refer to the following graph.
The perfectly competitive firm depicted is currently:
A. incurring a loss, but the loss is smaller than it would be if the firm shut down. B. earning positive economic profit. C. earning zero economic profit. D. incurring a loss that is larger than total fixed cost, and so the firm should shut down.
At a price of $4 per unit, Gadgets Inc. is willing to supply 20,000 gadgets, while United Gadgets is willing to supply 10,000 gadgets. If the price were to rise to $8 per unit, their respective quantities supplied would rise to 45,000 and 25,000. If these are the only two firms supplying gadgets, what is the elasticity of supply in the market for gadgets?
A. 0.80 B. 0.833 C. 1.0 D. 1.2