Suppose that a perfect-maximizing monopolist operates with a horizontal marginal cost curve and no fixed costs. Which of the following would NOT be represented as part of the area between its demand curve and marginal cost curve?
A. economic profits
B. total costs
C. deadweight loss
D. consumer surplus
Answer: B
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What will be an ideal response?
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a. The collapse of communism b. AsiaÕs rise after World War II c. ChinaÕs rapid growth after MaoÕs death d. The decline of Asia after the industrial revolution e. none of the above
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A. "Who consumes the products produced?" B. "What products will be produced?" C. "Where will the products be consumed?" D. "How will the products be produced?"
According to the Keynesian model, what are the two components of consumption spending? What determines how consumption changes when real disposable income changes? Explain
What will be an ideal response?