If a Pizza Hut restaurant near campus reduces its pizza prices by 15 percent, and as a result, its total revenue from pizza sales increases, this indicates that the price elasticity of demand was

We are assuming that returns to scale are

A) scalable. B) constant. C) increasing. D) zero.

Government regulators can achieve efficiency for a natural monopoly by setting a price ceiling equal to the intersection of the demand curve and the:

a. marginal revenue curve. b. average cost curve. c. marginal cost curve. d. average fixed cost curve.