When a monopolist practices price discrimination, compared to a single-price monopolist, producer surplus will:
A. decrease.
B. increase.
C. increase initially, and then return to its original level.
D. remain the same.
B. increase.
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Refer to Figure 2-6. If the economy is currently producing at point A, what is the opportunity cost of moving to point B?
A) 60 thousand spoons B) 46 thousand forks C) 16 thousand spoons D) 12 thousand forks
Nash equilibrium is:
a. where one player maximizes his payoff and the other doesn't b. when each player's strategy is the best response to the other player's strategy c. where the outcome is always efficient d. difficult to determine
A disadvantage of the corporate form of business organization is that corporate income is taxed twice
a. True b. False
Exhibit 5-5 Demand curve for computers
?
In Exhibit 5-5, the change in total revenue resulting from a change in price from A to D indicates that the demand curve is:
A. elastic. B. inelastic. C. unitary elastic. D. nonelastic.