Refer to the scenario above. Which of the following statements is true of the demand curve that the monopolist faces in the price range of $6 to $10?
A) The demand curve is elastic in the price range.
B) The demand curve is inelastic in the price range.
C) The demand curve is vertical in the price range.
D) The demand curve is upward sloping in the price range.
A
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If the wage rate doesn't change but a profit-maximizing competitive firm hires fewer workers, we know that
A) the price of the product increased. B) technical change occurred that increased labor productivity, reducing the firm's demand for labor. C) demand for the product fell or there has been a reduction in labor productivity. D) marginal factor cost increased.
When the TR and TC curves have the same slope,
A) they are the furthest from each other. B) they are closest to each other. C) they intersect each other. D) profit is negative. E) profit is zero.
New York City increased regulated taxi fares by 17.5 percent and expected taxi revenue to increase by the same amount. The taxi commission believed taxi demand was
a. unit elastic. b. somewhat elastic. c. perfectly elastic. d. perfectly inelastic. e. somewhat inelastic
An expansion is usually associated with rising price levels.
Answer the following statement true (T) or false (F)