A natural monopoly under rate of return regulation has an incentive to
A) pad its costs.
B) produce more than the efficient quantity of output.
C) charge a price equal to marginal cost.
D) maximize consumer surplus.
A
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If the quantity of a product demanded is greater than the quantity of a product supplied, there is pressure in the market to push the price downward
Indicate whether the statement is true or false
A person who has not worked in six months and has given up looking for work is officially classified as
A. employed. B. unemployed. C. discouraged. D. in the labor force.
On a balance sheet, stockholder's equity is equal to
A) assets minus liabilities. B) long-term liabilities minus current liabilities. C) total assets minus goodwill. D) the total value of outstanding shares of stock.
In its simplest form, purchasing power parity would mean that a good in one country
A) would have the same exchange-rate adjusted price in another country. B) will be available for sale in another country. C) will reflect the exchange rate in another country. D) will reflect the transportation cost differences in another country.