When a monopolist chooses the level of output where marginal cost equals marginal revenue the price:
A. equals marginal revenue.
B. equals average revenue.
C. is lower than average revenue.
D. is lower than marginal revenue.
B. equals average revenue.
You might also like to view...
As prices in Zimbabwe began to rise:
A. Mugabe was able to pay bribes with the new money and then started the process of reducing inflation. B. people immediately lost faith in the Zimbabwean dollar, causing its value to plummet to zero. C. people updated their inflation expectations so that future increases in the money supply were impossible. D. the government had to print even more money to continue to buy just as many goods as it did before.
A basic assumption in comparing the production possibilities curves of two nations is that those possibilities curves reflect differences in:
A. Consumer tastes and preferences B. Resource availability and technological capabilities C. The nations' incomes and income distribution D. Unemployment and inflation rates