Negative externalities might be reduced through a process of deciding or discovering who has which rights, which might also be described as ________

Compared to a perfectly competitive industry, a single-price monopoly produces

A) more output. B) less output. C) the same output. D) some amount that might be more, less, or the same depending on whether the monopoly's marginal revenue curve lies above, below, or on its demand curve. E) some amount that might be more, less, or the same depending on whether the monopoly's marginal cost curve lies above, below, or on its marginal revenue curve.

Suppose the firm's marginal cost of producing a can increases by $1 per can. Then, based on the figure above, the firm would

A) produce zero cans. B) decrease the amount of cans it produces but not to zero cans. C) not change the amount of cans it produces. D) increase the amount of cans it produces. E) More information is needed to determine what action the firm will take.