An unregulated monopolist will likely:
A. charge a price below MR and above MC.
B. charge a price equal to MR.
C. charge a price above MC.
D. charge a price below MR.
Answer: C
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Julia prepares tax returns and does bookkeeping. Last year her revenues from the tax and bookkeeping business were $150,000 . and her expenses for the business were $15,000 . When she started her tax and bookkeeping business, Julia gave up her supplemental job doing in-home pet sitting. She used to earn $10,000 per year from pet sitting. Assume that she incurred no costs for her pet sitting
business. Julia's economic profits are a. $160,000. b. $150,000. c. $135,000. d. $125,000.
The long run outcome of the monopolistically competitive firm:
A. does not maximize profits. B. is not efficient. C. is the same as the short-run outcome. D. maximizes total surplus.
The dividends that stockholders receive are:
A. paid before all other obligations of the company are met. B. distributions from profits. C. always equal to the average amount of interest paid to a bond holder, adjusting for the value of the holdings. D. fixed by contract and paid annually.
Because Federal Reserve Notes (paper currency) are legal tender
A) U.S. workers must accept them as payment for labor services. B) the Treasury Department mandates that the United States will never become a cashless society. C) U.S. firms must accept them as payment for goods and services. D) None of the above are correct.