Opinion polls reveal that many Americans begrudge millionaires their wealth

In a perfectly competitive market that is in long-run equilibrium, a permanent leftward shift in the market demand curve

A) raises the price in the short run. B) raises profits in the short run. C) leads to new firms entering the market in the long run. D) lowers the price at first but then raises it as firms leave the market.

A monopolist is producing at an output level at which MR = $6 and MC = $9. It could increase profits

A) by increasing both output and price. B) by reducing output and by increasing price. C) by reducing both output and price. D) by increasing output and by reducing price.