If a regulatory commission sets the regulated price equal to marginal cost for a natural monopoly,
a. losses will result
b. government subsidies will be unnecessary
c. the firm will earn economic profits
d. new firms will want to enter
e. resource use will not be optimal
A
Economics
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An explanation for the slowdown in U.S. productivity growth in the 1973–1995 period was higher oil prices caused by
A. the CIA. B. the WTO. C. the IMF. D. OPEC.
Economics
If orange juice prices fall by 25 percent next year, there will be a
A. rightward shift in the demand for pineapple juice. B. rightward shift in the supply of pineapple juice. C. leftward shift in the supply of pineapple juice. D. leftward shift in the demand for pineapple juice.
Economics