The expression "There's no such thing as a free lunch" means Select one:
a. if one person gains, someone else must lose.
b. each person must pay for exactly what he or she receives.
c. the use of resources to produce a good has an opportunity cost because of scarcity.
d. you cannot have a free lunch at the expense of someone else.
c. the use of resources to produce a good has an opportunity cost because of scarcity.
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A characteristic of the long run that is not available in the short run is that a firm is free to vary its output
Indicate whether the statement is true or false
If a corporation earns a profit, dividends must be paid
Indicate whether the statement is true or false
Which of the following can defeat the profit-maximizing strategy of price discrimination?
a. consumer surplus b. deadweight loss c. market power d. arbitrage
Use the following graph to answer the next question.
At its short-run equilibrium, this pure monopoly generates ________.
A. a loss B. an economic profit C. zero revenue D. a normal profit