A monopolist will find that its marginal revenue curve
A. Lies below its demand curve and is steeper than its demand curve.
B. Is the same as its demand curve.
C. Lies above its demand curve and is flatter than its demand curve.
D. Lies below its demand curve and has the same slope as its demand curve.
Answer: A
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Which of the following would most likely exhibit the highest price elasticity of demand?
A) gasoline B) one particular brand of toothpaste C) motor oil D) salt
The total burden of a tax equals tax receipts plus excess burden
a. True b. False Indicate whether the statement is true or false
According to the demand-pull theory, what is responsible for inflation?
(A) Demand for goods and services exceeds existing supply. (B) Too much money is in circulation. (C) Producers raise prices to meet increased costs. (D) The economy is in a wage-price spiral.
If both players in a game have dominant strategies, we say that the game has:
A) a constant sum. B) a nonconstant sum. C) independence of irrelevant alternatives. D) an equilibrium in dominant strategies.