If a monopolist produces to a point at which marginal revenue is less than marginal cost then
A) the firm should increase output.
B) the firm should reduce output.
C) the firm is maximizing profits.
D) we do not know if the firm should increase or reduce without more information.
Answer: B
Economics
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What will be an ideal response?
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Assume the price elasticity of supply for grade wheat has been estimated to be +0.82. This means that when the price of wheat increases by 10 percent, the quantity of wheat supplied to the market increases by 82 percent
Indicate whether the statement is true or false
Economics