A profit-maximizing monopolist will produce the level of output at which
a. average revenue is equal to average total cost.
b. average revenue is equal to marginal cost.
c. marginal revenue is equal to marginal cost.
d. total revenue is equal to opportunity cost.
c
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If firms differ in terms of their technologies, a drop in demand will cause a long run decrease in output price.
Answer the following statement true (T) or false (F)
A characteristic of a public good is
A) rival consumption. B) the exclusion principle. C) the free-rider problem. D) clear property rights.
A price ceiling set above the equilibrium price causes a surplus in the market
a. True b. False Indicate whether the statement is true or false
To reconcile net national product and national income,
a. national income is calculated first, and capital depreciation is subtracted from it to get net national product b. national income is calculated first, and indirect business taxes are subtracted from it to get net national product c. net national product is calculated first, and indirect business taxes are subtracted from it to get national income d. net national product is calculated first, and compensation of employees is added to it to get national income e. gross national product is calculated first, and capital depreciation plus nonfactor charges are subtracted to get national income