Which of the following statements concerning a monopolist is FALSE?
A) A monopolist will produce at which MR = MC.
B) For a monopolist, marginal revenue is less than price.
C) A monopolist will charge the highest price at which any individual will purchase the product.
D) A monopolist will shut down if price is less than average variable cost.
Answer: C
You might also like to view...
While the Economic Freedom Index demonstrates a strong ________ correlation between economic freedom and per capita GDP, the economic way of thinking provides the ________
A) negative; explanation B) positive; explanation C) negative; data D) positive; data
According to supply-side economists, the incentive to save during the Clinton Administration fell due to a combination of
a. an increase in net export and a budget surplus. b. an increase in the tax rates on upper-income Americans and more government regulation. c. higher inflation and higher tax rates on lower-income Americans. d. None of the above
Immigration significantly contributed to economic growth in the U.S. throughout the entire period between Independence and the Civil War
Indicate whether the statement is true or false
Real output per capita is calculated by
a. multiplying the population by GDP b. dividing nominal GDP by the population c. dividing the population by nominal GDP d. dividing real GDP by the population e. dividing the population by real GDP