When a regulatory agency uses marginal cost pricing to regulate a monopolist,
a. price will exceed marginal cost.
b. production costs will probably exceed the total revenues of the monopolist.
c. marginal cost will equal average total cost.
d. social welfare could be improved if average cost pricing was used instead
B
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Moving along which curve does the money wage rate and the price level change in the same proportions?
A) the AD curve B) the SAS curve C) the LAS curve D) None of the above because there is no curve along which both the money wage rate and the price level change in the same proportions.
Write an essay on the gains from free international trade
What will be an ideal response?
The rapid withdrawal of foreign investment funds from a nation creates
A) an international financial crisis. B) an international funding crisis. C) an international fiscal crisis. D) an international fiduciary crisis.
Which of the following would cause a rightward shift in the investment demand curve?
a. An increase in the interest rate. b. An increase in the rate of capacity utilization. c. An increase in households' disposable income; d. An increase in business taxes.