QuizMaster

A. charge a higher price
B. produce a lower quantity of the product
C. make a greater amount of economic profit
D. all of the above

A. the price is greater than the marginal revenue
B. the price is less than the marginal revenue
C. there is no relation
D. they are equal

A. increase should
B. decrease output
C. keep output the same because profits are maximized when marginal revenue exceeds marginal cost
D. raise the price

A. will rise
B. will fall
C. will remain the same
D. could either rise or fall depending on the elasticity of the monopolist’s supply curve

A. tends to be inefficient.
B. usually lowers the cost of production dramatically.
C. creates synergies between the newly acquired firm and other government-owned companies.
D. does none of the things described in these answers

A. Cause the monopolist to exit the market
B. improve efficieny
C. raise the price of good
D. attract additional firms to enter the market

A. higher prices and lower output
B. higher prices and higher output
C. lower prices and lower output
D. lower prices and higher output

A. marginal revenue equals marginal cost
B. marginal revenue equals price
C. marginal cost equals price
D. marginal cost equals demand
E. none of these answers

A. natural monopoly
B. perfect competitor
C. government monopoly
D. regulated monopoly

A. Bans monopolies
B. Fines all monopolies
C. Prevents firms acquiring more than 25% of the market
D. Has the right to investigate monopolies and will assess each one on its own merits