Direct finance involves the sale to ________ of marketable securities such as stocks and bonds

Which of the following is true when the government imposes a price ceiling on a monopolist?

A) Marginal revenue becomes horizontal. B) Marginal revenue is linear. C) Marginal revenue is kinked—horizontal and then downward sloping. D) Marginal revenue is kinked—downward sloping and then horizontal.

Market clearing prices in a market system act as

A) a signaling device. B) a direct measure of resource costs. C) a way for producers to advertise. D) a legally determined rationing device.