Which of the following statements is TRUE?
A) At the monopolist's equilibrium, resources are being efficiently allocated.
B) With a monopoly, the value to society of the last unit produced is less than it's production cost.
C) Monopolists raise the price and restrict production, compared to a competitive situation.
D) A monopolist always produces a higher level of output than would be produced if the market were competitive.
C
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A) increase; smaller than; increase B) decrease; larger than; decrease C) decrease; larger than; increase D) decrease; equal to; increase
The term "currency drain" refers to an increase in currency held outside banks
Indicate whether the statement is true or false