Refer to Scenario 10.8. The deadweight loss from monopoly is ________
A) 0
B) 5
C) 10
D) 25
E) none of the above
B
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In the long run, profit-maximizing monopolists facing a downward-sloping demand curve
A. may earn profits greater than their opportunity costs of capital. B. do not produce every possible unit of output for which marginal utility is greater than or equal to marginal cost. C. may or may not have lower costs than perfectly competitive firms in the same industry. D. All of these responses are correct.
Refer to Table 8.1. That the firm is perfectly competitive is evident from its
A) increasing marginal cost. B) increasing total cost. C) zero economic profits. D) constant marginal revenue. E) absence of marginal values at Q = 0.
If someone you know offers far more to hire you to work for than you could ever have imagine, the opportunity cost of working for yourself would rise
a. True b. False Indicate whether the statement is true or false
Because the products of firms in a monopolistically competitive market are NOT homogeneous, the
A. demand curve for the firm's product is downward sloping. B. demand curve for the firm's product is horizontal. C. demand curve for the firm's product is upward sloping. D. demand curve for the industry is the same for the firm.