Imagine a duopoly in which two firms, A and B, produce the monopoly profit-maximizing output and equally share the economic profit
If firm A increases its output, the market price ________ and total economic profit of the two firms combined ________. A) falls; decreases
B) falls; increases
C) rises; decreases
D) rises; increases
E) falls; does not change
A
You might also like to view...
The real exchange rate generally has ______ relationship with aggregate expenditure.
A. a negative B. a positive C. no D. a constant
Figure 5.4 shows a firm's marginal cost, average total cost, and average variable cost curves. The firm's total fixed cost is:
A. $2,800. B. $3,000. C. $4,500. D. $7,000.
Which of the following is a checkable and debitable account?
A. a checking account B. a savings account C. a brokerage account with an online stockbroker D. All of these are checkable and debitable accounts.
Real consumption tends to be
A) procyclical and less variable than real GDP. B) procyclical and more variable than real GDP. C) countercyclical and less variable than real GDP. D) countercyclical and more variable than real GDP.