The more elastic the demand curve, a monopoly
A) will have a larger Lerner Index.
B) will face a lower marginal cost.
C) will earn more profit.
D) will lose more sales as it raises its price.
D
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In macroeconomics, equilibrium is defined as the point at which:
a. the economy attains the highest level of GDP. b. there is no unemployment in the economy. c. people's plans match the reality. d. there is high inflation and unemployment in the economy. e. there is no inflation in the economy.
A shift outward of the aggregate supply curve could be caused by
a. higher import prices. b. lower import prices. c. energy shortages. d. rising wage rates.
Equilibrium is the condition that exists
A. when quantity demanded equals quantity supplied. B. when the demand curve intersects the price axis. C. when the demand curve intersects the quantity axis. D. whenever there is no government intervention in the market.
Which of the following would be an example of an implicit cost? (i) forgone investment opportunities (ii) wages of workers (iii) raw materials costs
a. (i) only b. (ii) only c. (ii) and (iii) only d. (i) and (iii) only