A monopolist is producing at an output level at which MR = $6 and MC = $9. It could increase profits
A) by increasing both output and price.
B) by reducing output and by increasing price.
C) by reducing both output and price.
D) by increasing output and by reducing price.
B
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An increase in the level of government price supports for wheat will not make wheat farming more profitable because
A) by definition government actions cannot affect profits. B) it raises the cost of growing wheat as well as the revenue. C) profit is the consequence of certainty and government policies are inherently uncertain. D) the demand for wheat is inelastic. E) wheat farmers are price takers, not price searchers.
A bank receives a demand deposit of $3,000 . The bank loans out $1,800 of this deposit and increases its excess reserves by $300 . What is the required reserve ratio?
a. 10% b. 30% c. 40% d. 60%
An example of screening during the hiring process is:
A. checking references. B. an interview. C. just asking for the information. D. All of these are ways to screen candidates.
During an election, a candidate who is not doing as well in the polls as his or her opponent will
A) modify his or her position so that it is more like that of his or her opponent. B) modify his or her position so that it is less like that of his or her opponent. C) become more specific in discussing the issues. D) label his or her opponent as a middle-of-the-roader.