The above figure shows the market for pizza. The market is in equilibrium. Pizza and tacos are substitutes for consumers. The price of tacos falls. What point represents the most likely new price and quantity?

A monopolist will operate where

a. MR = MC and charge a price equal to marginal revenue. b. MR = MC and charge a price equal to marginal cost. c. MR = MC and charge a price corresponding to demand at that level. d. MC = MR and charge a price corresponding to average cost.

If the elasticity of labor supply is negative, the labor supply curve would be

A. downward sloping. B. upward sloping. C. vertical. D. horizontal.