On the below graph, if the oligopoly's MC curve shifts from MC1 to MC2, the firm will charge:
A. A higher price than before and total revenue will increase
B. The same price as before and sell more output; total revenue will increase
C. The same price as before and sell the same amount of output; total revenue will remain the same
D. A higher price than before and sell less output; it can't be determined whether total revenue will change
C. The same price as before and sell the same amount of output; total revenue will remain the same
You might also like to view...
Which of the following are legal tender?
a. A check b. A Federal Reserve note c. A bank note issued by a private bank d. A credit card e. A traveler's check
Is a tornado siren excludable? Is it rival in consumption? How do we classify a tornado siren in terms of the four types of goods?
Which of the following is not included in national income?
a. Corporate profits b. Interest earnings c. Capital consumption allowance d. Rental income e. Stockbroker commissions
Which of the following is true?
A. Keynes asked the question: If supply creates its own demand, why are we in a worldwide depression? B. According to Keynes, if savings were greater than investment, interest rates would fall, bringing the economy back to full employment. C. Keynes believed that wages and prices were flexible. D. Keynes believed the economy was basically stable.