When a regulator allows a monopolist to set its price equal to long-run average cost, the regulator is practicing
A) marginal cost pricing.
B) operating cost pricing.
C) average cost pricing.
D) optimal cost pricing.
C
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A bank run is:
A. the situation that arises from fear that the bank is in danger of running out of money. B. when a bank's reserves are not enough to satisfy all withdrawal demands. C. when all depositors from a single bank demand to withdraw all deposits at once. D. All of these are true.
Which of the following is not an example of a capital input?
A. ?A person's skills and abilities, which can be employed to produce valuable goods and services. B. ?Factories and offices where goods and services are produced. C. ?Tools and equipment. D. ?Computers used by a company to record inventory, sales, and payroll. ?
A stockholder who owns 1,000 shares of the corporation’s 100,000 shares is entitled to what percentage of the vote in an election of corporate officers?
A. 1 percent B. 2 percent C. 5 percent D. 10 percent
The moral hazard problem refers to
a. difficulty banks have in satisfying the government's reserve requirement. b. depositors making a run on the bank, even though the bank is insured. c. banks taking on more risk in their lending because they know their depositors are insured. d. banks issuing bank notes that compete with the government's currency.