In the long run, a single-price monopolist will
A) make zero economic profit.
B) be able to continue to make an economic profit as long as there is a barrier to entry.
C) end up being regulated by the government because it is making short-run economic profits.
D) Both answers A and C are correct.
B
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When a negative externality exists, _______________________ and thus _______________ intervention may be needed to achieve efficiency.
A. external costs are necessarily greater than private costs; government B. social costs equal private costs; no government C. social costs are less than private costs; government D. social costs are greater than private costs; government E. none of the above
Which of the following have been suggested as sources of economic profit?
a. exercise of monopoly power by firms b. accepting a large degree of risk c. successful innovation d. All of the above are correct.
In the open-economy macroeconomic model, the real exchange rate does not affect net capital outflow
a. True b. False Indicate whether the statement is true or false
At an output of zero, total cost = ________________.
Fill in the blank(s) with the appropriate word(s).