If a pure monopolist is operating in a range of output where demand is elastic:
A. it cannot possibly be maximizing profits.
B. marginal revenue will be positive but declining.
C. marginal revenue will be positive and rising.
D. total revenue will be declining.
Answer: B
Economics
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In the circular flow diagram, ________ supply the factors of production, and ________ goods and services
A) firms; sell B) households; buy C) firms; buy D) households; sell
Economics
A two-period project has the following probabilities and cash flows:
Probability Cash flow Period 1: .25 500 .50 600 .25 700 Period 2: .30 300 .50 500 .20 700 The discount rate is 7%, and the initial investment is $1,000. How much is the expected NPV of this project?
Economics