Which of the following statements about a monopolist is FALSE?
A. A pure monopolist is not the same as a perfect competitor.
B. A pure monopolist is the sole supplier of one product, good, or service.
C. The monopolist faces a demand curve for the entire market for that good.
D. The monopolist faces the industry demand curve, which is upward sloping.
Answer: D
You might also like to view...
Refer to Figure 24-4. Given the economy is at point A in year 1, what is the difference between the actual growth rate in GDP in year 2 and the potential growth rate in GDP in year 2?
A) 0.3% B) 1.1% C) 2.7% D) 3.7%
Libertarianism identifies a redistribution of income role for government when
a. the utility of the worst-off could be improved. b. the income distribution is altered by illegal means (e.g. theft). c. the total utility for society can be improved through redistribution of income. d. a "veil of ignorance" would result in a recommendation of redistribution of income.
Compensating wage differentials explain some income differences.
Answer the following statement true (T) or false (F)
If an excise tax is placed on a product that has a perfectly inelastic demand, then:
A. the entire tax will be paid by the consumer. B. the entire tax will be paid by the producer. C. the consumer and producer will each pay a share of the tax. D. the incidence of the tax cannot be determined unless we know the coefficient of price elasticity of supply.