In order for a monopolist to earn an economic profit in short-run equilibrium, marginal revenue must be equal to zero
a. True
b. False
Indicate whether the statement is true or false
False
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The concept that economic growth can do more than just give us more goods and services goes back to Adam Smith
Indicate whether the statement is true or false
Refer to the graph shown. If hamburgers are produced by a pure monopoly that maximizes profit, the monopoly firm will:
A. earn $200 economic profit per day. B. earn $100 per day. C. go out of business. D. just cover its opportunity cost.
Which of the following is a payroll tax?
A. The federal income tax. B. The corporate income tax. C. A sales tax. D. The Social Security tax.
A government using fiscal policy in an attempt to stimulate the economy would do which of the following?
A. Raise taxes. B. Raise interest rates. C. Lower interest rates. D. Raise government spending.