Refer to Figure 15-5. If the monopolist charges price P* for output Q*, in order to maximize profit or minimize loss in the short run, it should
A) continue to produce because price is greater than average variable cost.
B) shut down because price is greater than marginal cost.
C) continue to produce because a monopolist always earns a profit.
D) shut down because price is less than average total cost.
A
Economics
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Of the following high-income countries, which has the lowest mortality ratio for cancer?
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The above figure shows a graph of the market for pizzas in a large town. Suppose that concern over dietary habits has led the government to impose a restriction that limits suppliers to produce no more than 40 pizzas
What will the price of pizza be as a result of this quota? A) $2 B) $7 C) $8 D) $10
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