For the monopolist, marginal revenue is
A) equal to price.
B) less than average revenue since price must be lowered to sell additional units.
C) greater than price.
D) not a consideration in the firm's pricing.
Answer: B
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The Millennium Development Goals indicate that
a. extreme poverty can only be eliminated by introducing democratic norms. b. the alleviation of extreme poverty is a moral responsibility that cannot be ignored. c. foreign direct investment actually ends up increasing global poverty. d. there is little evidence that institutionalized programs reduce global poverty.
The name economists give the process by which stockholders gather information by frequent monitoring of the firm's activities is
A) costly state verification. B) the free-rider problem. C) costly avoidance. D) debt intermediation.