The demand curve for a monopolist is P = 75 - 0.5Q, and the monopolist has the following MC expressed as P = 2Q. Assume also that ATC at the profit-maximizing level of production is equal to $12.50. Reference: Ref 13-20 (Scenario: Monopolist) Look at the scenario Monopolist. The MR curve is:
a. P = 75 - Q.
b. P = 150 - 0.5Q.
c. P = 150 - Q.
d. P = 225 - Q.
b. P = 150 - 0.5Q.
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The Board of Governors is the
A) Presidents of the 12 regional banks of the Federal Reserve. B) 7-member group that oversees the Federal Reserve. C) 12-member monetary policy committee of the Federal Reserve. D) 50-member organization of state banking regulators of the Federal Reserve.
Which is NOT an advantage of emissions fees over standards?
A) Fees can give a firm the incentive to reduce emissions below the standard when new technology allows. B) Fees can reduce the cost of attaining some goal level of emissions when firms all have the same abatement costs. C) Fees can reduce the cost of attaining some goal level of emissions when firms have different abatement costs and different standards can be assigned to different firms. D) Fees can reduce the cost of attaining some goal level of emissions when firms have different abatement costs and different standards cannot be assigned to different firms. E) Fees may provide an incentive for a firm to investigate emissions-reduction technology that will reduce emissions below existing standards.
If one day a terrible disease were to wipe out over one-half of the world's lime trees, which of the following would likely result?
A) The supply curve of lime juice would shift downward and to the right. B) The supply curve of lime juice would shift upward and to the left. C) The demand curve for lime juice would shift to the right. D) The demand curve for lime juice would shift to the left.
Figure 10-5
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Figure 10-5 shows the short-run cost relationships for a perfectly competitive firm. Based on this diagram, which point would not be on the firm’s short-run supply curve?
A. D B. B C. C D. H