The "monopoly issue" is concerned with the fact that
(a) monopolies will "charge what the traffic will bear" in order to maximize their profits.
(b) monopolies will attempt to increase their profits by discriminating among their customers
and charge prices that they are willing to pay, instead of charging one price.
(c) monopolies will be able to charge higher prices and earn higher rates of return than
competitive firms.
(d) all of the above apply.
(d)
You might also like to view...
Suppose the country of Tiny Town experienced frictional unemployment. This frictional unemployment would
A) definitely signal that the country is in a recession. B) be considered a natural occurrence in a growing economy. C) signal that there are more job leavers than job losers. D) signal that the number of discouraged workers is growing.
Economic growth comes from ________
A) people willing to increase their skills in which case, economic growth is free B) producing more goods than people want to consume C) capital accumulation and the avoidance of opportunity cost D) capital accumulation and technological advance
The law of diminishing marginal utility states that as additional units are consumed, satisfaction per unit will decline
a. True b. False Indicate whether the statement is true or false
The quantity of money held in response to interest rates is the:
a. precautionary motive for holding money. b. unit-of-account motive for holding money. c. transactions motive for holding money. d. speculative motive for holding money.