Which statement is true?
A. Because they are the only seller in the industry, the monopolist does not have to lower their price to sell more output.
B. Most firms in the United States are monopolies.
C. Unlike the perfect competitor, the monopolist does not necessarily produce at that output where MC = MR.
D. None of these statements are true.
D. None of these statements are true.
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Refer to Figure 7-4. With insurance and a third-party payer system, the equilibrium quantity of medical services is
A) 200. B) 500. C) 700. D) >700.
If the price of one input changes, generally the firm will change its use of both inputs.
Answer the following statement true (T) or false (F)
Refer to Scenario 1.1 below to answer the question(s) that follow.SCENARIO 1.1: An economist wants to understand the relationship between minimum wages and the level of teenage unemployment. The economist collects data on the values of the minimum wage and the levels of teenage unemployment over time. The economist concludes that a 1% increase in minimum wage causes a 0.2% increase in teenage unemployment. From this information he concludes that the minimum wage is harmful to teenagers and should be reduced or eliminated to increase employment among teenagers.Refer to Scenario 1.1. A graph of the value of the minimum wage on one axis and the level of teenage unemployment on the other axis is an example of
A. a variable theory. B. an economic theory. C. an economic model. D. inductive reasoning.
E-commerce and an internet presence are important to many firms, requiring employees with specialized skills that are in short supply. The invisible hand solves the employment problem by:
A. encouraging the government to set up training programs to provide workers with the necessary skills. B. discouraging firms from using of new technologies such as the internet. C. providing free internet access. D. giving workers an incentive to acquire the necessary skills on their own in order to receive higher wages.