Compared with the profit-maximizing choice of a natural monopolist, output regulation will result in a
A. Higher level of output and a lower price.
B. Lower level of output and a lower price.
C. Higher level of output and a higher price.
D. Lower level of output and a higher price.
Answer: A
You might also like to view...
Advertising that has the fine print "professional driver on a closed course,"
A) is likely engaged in persuasive advertising. B) is likely engaged in informative advertising. C) is likely engaged in strategic advertising. D) is likely engaged in false advertising.
Under perfect price discrimination,
a. equilibrium quantity and consumer surplus are the same as under perfect competition b. equilibrium quantity is greater and consumer surplus is the same as under perfect competition c. equilibrium quantity and consumer surplus are less than under perfect competition d. equilibrium quantity is the same but consumer surplus is less than under perfect competition e. equilibrium quantity is less but consumer surplus is the same as under perfect competition
The reason why inflation reduces the value of the multiplier is that part of the change in demand is
a. absorbed by price changes. b. saved rather than spent. c. matched by changes in supply. d. matched by changes in income.
Russia experienced a hyperinflation of 2,500 percent per year in the early 1990s, which dipped to 10 percent per year by 2006
a. True b. False Indicate whether the statement is true or false