One type of regulatory practice common for public utilities is setting a price for consumers based on the average cost of production plus the normal rate of profit expected; this is known as what kind of regulation?
a. Cost-plus regulation
b. Price cap regulation
c. Bundling regulation
d. Antitrust regulation
a. Cost-plus regulation
You might also like to view...
Figure 10-1
If the profit-maximizing firm depicted in Figure 10-1 is perfectly competitive, how much output should it produce?
a.
A
b.
B
c.
C
d.
D
The consumption function will shift with
A) a decrease in real disposable income. B) a change in saving. C) a change in household wealth. D) an increase in real disposable income.
A depreciation in the value of the U.S. dollar would:
A. encourage foreigners to travel on American owned airlines. B. make U.S. goods more expensive to foreign consumers. C. decrease the number of dollars it takes to buy a Swiss franc. D. make it more expensive for U.S. citizens to travel abroad.
Economic analysis that focuses on the economy as a whole is called
a. macroeconomics b. microeconomics c. positive economics d. normative economics e. macrometrics