The data below relate to a pure monopolist and the product it produces. If the firm currently sells 2 units of output at a price of $18, in order to maximize profit the firm should:PriceQuantityTotal Cost$220$20201241822716333144401254910659
A. lower its price to $14.
B. lower its price to $16.
C. raise its price to $20.
D. leave its price and output unchanged.
Answer: A
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A) a laissez-faire policy. B) discretionary fiscal policy. C) monetary policy. D) a Ricardian policy.
It is expected that the price of a bushel of wheat will increase in one month. This belief will result in
A) a decrease in the future supply of wheat. B) an increase in the current supply of wheat. C) a decrease in the current supply of wheat. D) no change in the current or future supply of wheat. E) an increase in the current quantity supplied of wheat.
The general public has strong incentives to be informed about regulations that impact them
a. True b. False
If the supply curve for land was a vertical line, then any payment made for land would be considered
A) as economic rent. B) as economic lease. C) as economic interest. D) as an opportunity lease payment.