Which of the following is true?
a. The monopolist's marginal revenue will always be less than the price because of its downward-sloping demand curve.
b. In order to sell more output, the monopolist must accept a lower price on all units sold.
c. The monopolist will receive additional revenue from the sale of an additional new unit but will receive less revenue on all of the units it was previously selling as well.
d. All of these statements are true.
Ans: d. All of these statements are true.
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According to Adam Smith, the "invisible hand" refers to
The total amount the federal government has borrowed to make expenditures that exceed tax revenue is called
A) personal income taxes. B) federal expenditures. C) total government spending. D) the net government revenue. E) the national debt.
From the 1960s to 2014, transfer payments
A) have declined by half as a percentage of total federal government expenditures. B) have risen from 25 percent to about 48 percent of federal government expenditures. C) remained the same percentage of total federal government expenditures. D) have grown very slowly as a percentage of total federal government expenditures.
A monopsonist will hire labor up to the point where
a. the marginal expense of labor is minimized. b. the marginal physical productivity of labor is maximized. c. the marginal expense of labor is equal to marginal revenue. d. the marginal expense of labor is equal to the marginal value product of labor.