Which of the following is NOT true regarding monopoly?
A) Monopoly is the sole producer in the market.
B) Monopoly price is determined from the demand curve.
C) Monopolist can charge as high a price as it likes.
D) Monopoly demand curve is downward sloping.
C
You might also like to view...
In the long run, a perfectly competitive firm will exit a market when
A) its total revenue is less than its total cost. B) its marginal revenue curve is below the minimum of its average total cost curve. C) the price is greater than the minimum of its average total cost curve. D) Both answers A and B are correct.
Which actor in the simplified circular flow model is on the supply side of the goods market?
A. Firms B. Households C. Markets for factors of production D. Government
Ms. Birnbaum is buying bottles of beer and bags of pretzels. The marginal utility of the last bottle of beer is 60 and the marginal utility of the last bag of pretzels is 30. The price of beer is $0.30 per bottle and the price of pretzels is $0.20 per bag. Ms. Birnbaum
A. is not spending all her income. B. should buy more pretzels and less beer. C. is buying beer and pretzels in the utility-maximizing amounts. D. should buy more beer and fewer pretzels.
Economists played a key role in the development of merger guidelines by the Department of Justice and the Federal Trade Commission in 1982. These guidelines have three main parts. What are these parts?
A) concentration ratios; the Herfindahl-Hirschman Index; market standards B) concentration standards; concentration ratios; competitive analysis C) economic analysis; political analysis; dynamic analysis D) market definition; measure of concentration; merger standards