If the average total cost curve is always above the demand curve for a monopolist:
a. the profits of the monopolist will be large.
b. the monopolist must be producing inefficiently.
c. the monopolist will suffer economic losses.
d. entry will occur, forcing the monopolist to reduce price and expand output.
c
Economics
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If both the supply and demand curves shift simultaneously, we can always predict what will happen to
A) both the price and the quantity. B) either the price or the quantity, but not both. C) only the price. D) only the quantity. E) neither the price nor the quantity.
Economics
Assume the United States televison manufacturing industry accuses the Japanese television manufacturers of dumping. Why should consumers not necessarily be worried about this practice?
What will be an ideal response?
Economics