A natural monopoly is a market where:
A. a single firm has control over a vital natural resource.
B. many smaller firms can produce the entire market output at the same per-unit cost as could one large firm.
C. a single large firm can produce the entire market output at a lower per-unit cost than a group of smaller firms.
D. many smaller firms can produce the entire market output at a lower per-unit cost than could one large firm.
Answer: C
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Which of the following is a difference between a first-price sealed-bid auction and a Dutch auction?
A) The highest bidder wins in a first-price sealed-bid auction while the second-highest bidder wins in a Dutch auction. B) The second-highest bidder wins in a first-price sealed-bid auction while the highest bidder wins in a Dutch auction. C) Bids are placed privately in a first-price sealed-bid auction while bids are placed publicly in a Dutch auction. D) Bids are placed one after another in a first-price sealed-bid auction while bids are placed simultaneously in a Dutch auction.
A noisy party that keeps neighbors awake is an example of a
A) negative production externality. B) positive production externality. C) negative consumption externality. D) positive consumption externality. E) Both answers B and C are correct.
The five countries with the highest carbon dioxide emissions include all of the following except:
a. Qatar b. Australia c. Canada d. Kenya
The random walk theory says that
A) stock prices follow a trend for varying periods of time. B) successive stock prices increase more than they decrease. C) successive stock prices are dependent on the weighted average of the previous week's prices. D) successive stock prices are independent of each other.