Which of the following is true of a monopolist in the short run?
A. It is constrained by marginal cost in setting price.
B. It is constrained by consumer demand in setting price.
C. It charges more than what consumers are willing to pay.
D. It always earns an economic profit.
E. It can charge whatever price it wants.
Answer: B. It is constrained by consumer demand in setting price.
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The top 25 most frequently used DRGs accounted for approximately _______ percent of all discharges under Medicare
a. 28 b. 38 c. 48 d. 58 e. 68
Two friends, Diane and Sam, own and run a bar. Diane tends bar on Monday, Wednesday, and Friday and receives a wage in addition to tips. Sam tends bar on Tuesday, Thursday, and Saturday and receives only tips. Which of the following represents an implicit cost of operating the bar?
a. Diane's wage. b. Sam's time. c. Diane's tips. d. Sam's tips. e. Both Diane's and Sam's tips.
Other things remaining the same, an individual demand schedule shows the various quantities of a good:
a. that a person wants and is able to purchase at alternative prices. b. that are demanded with a change in the quantity demanded of a substitute good. c. that a person is able to purchase at alternative income levels. d. that are demanded at various levels of utility. e. that are demanded by the market at various prices.
Within a game theory model, if a change in decision-making raises corporation A's profits by $200 and lowers corporation B's profits by $250, the game is a
A. positive-sum game. B. negative-sum game. C. cooperative game. D. zero-sum game.