When a monopolist incurs a loss in the short run, it will stop producing if
A. marginal cost equals marginal revenue.
B. total revenue is insufficient to cover fixed costs.
C. total revenue is insufficient to cover variable costs.
D. demand is greater than marginal revenue.
Answer: C
You might also like to view...
Refer to the payoff matrix below. Which of the following is true for Happy Campers?
A) The Low strategy dominates the Middle strategy
B) The High strategy dominates the Low strategy.
C) The Low strategy dominates the High strategy.
D) The Middle strategy dominates the Low strategy.
Economic rent is broadly defined as
A) a payment received by a landowner. B) a payment for the use of any resource that has a fixed supply. C) the return to owners of farmland. D) the dividend return on a share of stock.
The formula for determining a real variable is real variable =
a. (nominal variable ? 100) ? CPI b. (nominal variable ? CPI) ? 100 c. (nominal variable ? price index) ? 100 d. (nominal variable ? price index) + 100 e. (nominal variable ? price index) ? 100
Increasing wage inequality results when international trade leads to ________ wages for workers in exporting industries and ________ wages for workers in importing industries.
A. higher; lower B. higher; higher C. lower; no change in D. lower; higher