Which of the following statements regarding a price-taking firm is correct?
A) Demand = average revenue > marginal revenue.
B) Demand = marginal revenue > average revenue.
C) Demand = price = average revenue = marginal revenue.
D) Demand = price > average revenue > marginal revenue.
C
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To practice third-degree price discrimination, a pure monopoly must ________.
A. permit the resale of the product by the original buyers B. be able to separate buyers into different groups with different price elasticities C. charge one price to all buyers D. be a natural monopoly
Refer to Figure 8A.1. Suppose that the economy starts with a capital stock of K0. Then total saving is given by point ________ and depreciation by point ________
A) c; d B) b; a C) d; c D) a; b
Assume that the initial demand and supply curves in the above figure are DA and SA, respectively. The initial equilibrium price and quantity are
A) P1 and E. B) P3 and F. C) P1 and G. D) P2 and F.
In a repeated game,
a. Cooperation is more likely than in a one-shot game b. Cooperation is less likely than in a one-shot game c. Cooperation can be either more or less likely than in a one-shot game d. The results are likely to be the same as in a one-shot game