A natural monopoly is characterized by:
A. Collusion with other competitors to divide up the market
B. A decreasing average-cost curve extending beyond the market's size
C. A firm protected from competition by a government regulation
D. A firm having control over the entire supply of a basic input in the production process
B. A decreasing average-cost curve extending beyond the market's size
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The above figure shows the isoquants for producing steel. When producing less than 10,000 tons there are
A) increasing returns to scale. B) decreasing returns to scale. C) constant returns to scale. D) diseconomies of scale.
Which of the following is correct concerning the open-economy macroeconomic model?
a. The net-capital-outflow curve slopes upward. b. The key determinant of net capital outflow is the real exchange rate. c. The supply of dollars in the market for foreign-currency exchange is vertical. d. None of the above is correct.
Refer to the information provided in Figure 28.5 below to answer the question(s) that follow.
Figure 28.5Refer to Figure 28.5. If aggregate demand shifts while aggregate supply is stable, the relationship between the price level and the unemployment rate is represented in Panel
A. A. B. B. C. C. D. D.
Issuing coupons, waiting in line, and catering to favored customers are all methods of
A. nonprice rationing. B. income distribution. C. unbiased favoritism. D. exploiting wealth.