When an industry is monopolized, the move from a competitive environment to a monopoly leads to a decrease in consumer surplus and an increase in industry profits in a one-to-one ratio.

Kansas Power and Light, the only supplier of electricity in Kansas, is an example of a firm in what type of market?

A) a monopoly market B) an oligopolistic market C) a perfectly competitive market D) a monopolistically competitive market

Income tax collections:

a. rise during a recession, thus reduce the severity of the recession. b. rise during a recession, thus increase the severity of the recession. c. fall during inflationary episodes, thus increase the severity of the inflation. d. fall during a recession, thus reducing the severity of the recession.