If the demand for a monopolist's product increases, its
A) marginal revenue increases, making it more profitable to hire more workers.
B) marginal revenue increases, making it more profitable to hire fewer workers.
C) marginal revenue decreases, making it more profitable to hire more workers.
D) marginal revenue decreases, making it more profitable to hire fewer workers.
A
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Recall the Application. Unlike the Euro-zone, the United States does not just have a single currency, but also has a ________ that provides transfers to areas in economic distress
A) single central bank B) unified fiscal system C) national trade agreement D) federally funded emergency account
Refer to the payoff matrix below. Which of the following is the pure -strategy Nash Equilibrium?
A) Set High Price/Set Low Price
B) Set Low Price/Set High Price
C) Set High Price/Set High Price
D) Set Low Price/Set Low Price
The government is deciding where to put a $1 tax-either in a market with elastic supply and demand curves, or a market with inelastic supply and demand curves. If their aim is to raise the most revenue with the smallest deadweight loss, where should the tax be placed?
A. In the market with elastic supply and demand curves B. In the market with inelastic supply and demand curves C. It is impossible to say without more information D. Since the burden is shared, it doesn't matter in which market it is placed
Which of the following is not a power of the Federal Reserve System?
a. Setting the prime interest rate b. Issuing Federal Reserve notes c. Buying and selling U.S. government securities d. Extending loans to member banks e. Clearing checks