Suppose there are two types of consumers with two different demand curves, and the marginal cost of the monopoly is $10. What could be the possible price under two-part pricing that will maximize the monopoly profit?
A) $8
B) $9
C) $10
D) $12
D
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Which of the following is ALWAYS true for a profit-maximizing single-price monopolist?
A) p > Mc B) MR = MC C) p= MR D) all of the choices are always true
Referring to Figure 19.1, the peso is likely to appreciate if the exchange rate is either ________ or ________ pesos to the dollar
A) 10; 11 B) 11; 12 C) 12; 13 D) 13; 14
Assume the graph shown represents the market for pizzas sold in an hour. If the original equilibrium was D and S1. Which of the following is true when S1 shifted to S2?
A. Equilibrium price decreased by $5.
B. Equilibrium quantity increased by 20.
C. Equilibrium price increased by $5.
D. Equilibrium quantity increased by 30.
Answer the following statements true (T) or false (F)
1. Market demand and the firm’s demand curve coincide in a monopoly. 2. The AR and MR curves of a monopoly are identical. 3. A monopoly can sell all that it desires at any given price. 4. The demand for the product of a monopolist is perfectly inelastic. 5. A monopoly cannot suffer a loss.