In the short run, when a monopolist incurs a loss, it will
A. produce as long as total revenue is sufficient to cover variable costs.
B. always shut down.
C. produce as long as total revenue is sufficient to cover fixed costs.
D. always produce where marginal cost equals marginal revenue.
Answer: A
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What Congressional act, enacted in 1933 and repealed in 1999, prevented financial firms from being both commercial banks and investment banks?
A) the Glass-Steagall Act B) the Cellar-Kefauver Act C) the Sarbanes-Oxley Act D) the Taft-Hartley Act
Which of the following explains why individuals must make choices?
a. competition among firms b. scarcity of resources c. inflation d. changes in the money supply e. conflict between positive and normative economic statements
The field of behavioral economics applies the methods of economics to study how government works
a. True b. False Indicate whether the statement is true or false
Because we collectively consume ________ goods, firms in the private sector may not provide them because they ________ exclude those who do not pay.
A. private; can B. public; can C. private; cannot D. public; cannot