A profit-maximizing monopolist, if producing at all, chooses a level of output where:
a. total revenue is maximized
b. total cost is minimized.
c. average total cost is minimized.
d. marginal revenue equals marginal cost.
d
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Pooling of risk occurs when depository institutions
A) make assets more liquid. B) specialize in loaning only to good borrowers. C) bring lenders together. D) lend to a variety of different borrowers.
If ZipCo's marginal revenue product curves slope downward, what can we conclude about the structure of the market in which ZipCo sells its product?
a. The firm is a price searcher because price is greater than marginal revenue. b. The firm is a price taker because price is equal to marginal revenue. c. The firm is a price searcher because the price of each resource is constant. d. The firm is a price taker because the price of each resource is constant. e. Nothing.
The price of a ticket to the latest Broadway musical is $80 . You will purchase a ticket if: a. you are acting irrationally b. you place a lower valuation on seeing the musical than $80 but are extremely bored. c. your expected marginal benefit from viewing the musical exceeds $80
d. your expected marginal cost from viewing the musical exceeds $80.
Money is what people in a society regularly use when purchasing or selling goods and services.
Select whether the statement is true or false. A. True B. False