Suppose the accompanying table describes the relationship between price and quantity demanded for a monopolist. QuantityPrice1$102$93$84$75$66$57$48$3If the marginal cost of producing each unit of output is $5, then at the monopolist's profit-maximizing level of output, the monopolist produces ________ units of output than is socially optimal.
A. 3 more
B. 2 fewer
C. 3 fewer
D. 1 more
Answer: C
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An efficient allocation of resources occurs when we
A) produce the goods and services that people need. B) cannot produce more of a good or service without giving up some other good or service that we value more highly. C) produce the goods and services that people want. D) cannot produce more of a good or service without giving up some other good or service that we need.
Which of the following assets is almost riskless?
A) Common stocks B) Long-term corporate bonds C) U.S. Treasury bills D) Long-term government bonds E) Apartment buildings
If the value of the consumer price index is 110 in 2005 and 121 in 2006, then the inflation rate is 11 percent for 2006
a. True b. False Indicate whether the statement is true or false
If it is possible to make a change that will help some people without harming others, then the situation is:
A. efficient. B. fair. C. inefficient. D. unfair.