Under rate-of-return regulation, average cost pricing
A) is inflated so the firm can make economic profits.
B) includes variable costs but not a cost for capital.
C) includes what they consider to be a fair rate of return on investment.
D) includes a cost for capital that generates an above normal rate of return.
C
Economics
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Checks are cleared between private banks by:
A. The 12 regional Federal Reserve banks. B. The Executive Branch of government. C. The Federal Reserve Board of Governors. D. State banking commissions.
Economics
Assume MUX = 30 utils, MUY = 15 utils, PX = $2, and PY = $0.50 . This consumer:
a. should buy less of X and less of Y. b. is in equilibrium. c. should buy more of X and less of Y. d. should buy less of X and more of Y. e. should buy more of X and more of Y.
Economics