Identify the correct statement.
a. The output produced by a monopoly is equal to that produced by a monopolistically competitive firm.
b. The output produced by a monopoly is greater than that produced by a monopolistically competitive firm.
c. Price equals marginal revenue for both a monopolist and a monopolistically competitive firm
d. Price exceeds marginal revenue for both a monopolist and a monopolistically competitive firm.
d
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Economies that are more open seem generally to be economies that grow faster. How might this be explained?
What will be an ideal response?
"A firm should continue to hire more workers as long as wages are low." Do you agree or disagree? Why?
What will be an ideal response?
The process of moving from disequilibrium to equilibrium in labor markets creates special problems because
a. we are all workers threatened by recession b. we cannot spend money we have not earned c. the process is very short d. the process is especially lengthy e. negative shocks create economic expansions
The invention of parity price ratios was designed to protect farmers' purchasing power. Over the years, these parity price ratios have
a. been fixed at 100 percent b. increased to approximately 125 percent of their initial value set in 1910–1914 c. been increasing at approximately 25 percent per year d. been falling and are less than 50 percent of the 1910–1914 ratio e. been volatile, increasing and decreasing sometimes dramatically, but still averaging approximately 100 percent of 1910–1914 levels, which was the long-run target