A monopolistic competitor incurs losses if ________
A) price is higher than average total cost
B) price is lower than marginal cost
C) price is equal to marginal cost
D) price is lower than average total cost
D
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According to the expectations theory, what will be the interest rate on a three-year bond if a one-year bond has an interest rate of 2% and is expected to have an interest rate of 3% next year and 5% in two year?
Report your answer using a percentage with two decimal places.
If more is better, how can you explain that more pollution doesn't violate this principle?
What will be an ideal response?
Based on this consumer surplus graph, how many full glasses of iced tea can Emily buy and receive a consumer surplus?
a. one
b. two
c. three
d. four
If the demand for illegal drugs is inelastic, then a government policy to cause their price to increase would cause total revenue from drug sales to:
A. rise. B. fall. C. stay the same. D. drop to zero.