To maximize profits, a monopolist that engages in price discrimination must allocate output in such a way as to make identical the ____ in all markets
a. ratio of price to marginal cost
b. ratio of marginal cost to marginal utility
c. ratio of price to elasticity
d. marginal revenue
e. none of the above
d
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If the percentage change in the price of a good is equal to the percentage change in the quantity demanded of that good, then the demand for that good is:
A. inelastic. B. unit elastic. C. elastic. D. perfectly elastic.
Which of the following is true?
a. under the partnership form of business organization, the owners are not personally liable for the debts of the business. b. when employees also own a business, their incentive to shirk is removed. c. the limited liability of stockholders under the corporate business structure makes it easier to raise equity capital. d. under the corporate form of business organization, the owners of the firm are personally liable for its debts.
The net benefits of entering into an OCA are calculated by:
A) measuring the symmetry between the political structures of the nations. B) measuring the variability of exchange rates between the nations. C) comparing the efficiency benefits of market integration versus the costs of abandoning discretionary monetary policy. D) comparing the trade balances between the nations with growth in GDP for each nation.
Expansionary monetary policy will decrease interest rates and decrease the velocity of money.
Answer the following statement true (T) or false (F)