If MR = MC, a monopolist should:

A. stop producing.
B. maintain the same level of production.
C. decrease production.
D. increase production.


Answer: B

Economics

You might also like to view...

Good news about an economic indicator __________ the denominator of a bond's valuation formula, __________ the bond's price

A) raises; raising B) raises; lowering C) lowers; raising D) lowers; lowering

Economics

The slope of the consumption function equals the marginal propensity to consume

a. True b. False Indicate whether the statement is true or false

Economics

Small differences in growth rates of real GDP per person over the long run make ______ differences in the average standard of living.

A. almost no B. unpredictable C. very large D. very minor

Economics

Which of the following is not a widely acknowledged problem with using the CPI as a measure of the cost of living?

a. substitution bias b. introduction of new goods c. unmeasured quality change d. unmeasured price change

Economics