The graph for a monopolist’s profits shows that at output QM, the firm’s total cost is ______.
a. $100
b. $400
c. $600
d. $800
b. $400
You might also like to view...
Which of the following is most limited in scope under a pure market economy? a. Freedom of choice
b. Consumer sovereignty. c. Entrepreneurship. d. Government.
Recall the Application about the decrease in price of illegal drugs in the United States to answer the following question(s).Recall the Application. If the decrease in price of illegal drugs is primarily due to a change in demand, the equilibrium quantity of drugs:
A. will increase. B. will decrease. C. will not change. D. may or may not change.
A cross-price elasticity value that is negative will always indicate goods that are substitutes.
a. true b. false
Refer to the information provided in Table 8.6 below to answer the question(s) that follow.
Table 8.6
Refer to Table 8.6. From the information in the given table,
A. the difference between total cost and total variable cost decreases as output increases. B. the firm is in the long run. C. the marginal cost curve intersects the average total cost curve between 3 and 4 units of output. D. the firm eventually experiences diminishing returns to its variable input.