In the above figure, for a single-price monopolist producing at its profit-maximizing equilibrium price and quantity, the price elasticity of demand at this equilibrium will be
A) greater than 1 and the monopolist's total revenue is maximized.
B) less than 1 and the monopolist's economic profit could be larger.
C) equal to 1 and the monopolist's total revenue is maximized.
D) greater than 1 and the economic profit is maximized but the total revenue is not.
D
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The balance of payments has become a central issue for the United States because
A) when the balance of payments is not balanced, society is unbalanced. B) the U.S. economy cannot grow when the balance of payments is in deficit. C) the U.S. has run huge trade deficits in every year since 1982. D) the U.S. never experienced a surplus in its balance of payments. E) the U.S. once ran a large trade surplus of about $40 billion.
In game theory analysis, what is a "dominant strategy"?
What will be an ideal response?
Give an example of a famous cartel
In the graph below, the price of capital is $500 per unit. How many units of labor should a firm use in order to produce 30,000 units of output at the lowest possible cost?
A. 800 units of labor B. 500 units of labor C. 320 units of labor D. 300 units of labor E. none of the above