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A. a lower price B. the same price C. a higher price D. the market price A. seek

ID: 1102541 • Letter: A

Question

A. a lower price

B. the same price

C. a higher price

D. the market price

A. seeks an effective use of resources

B. is aimed at keeping prices as low as possible

C. helps firm maximize economic profit

D. the public cares deeply about regulation

A. a barrier to entry

B. deadweight loss

C. total cost

D. economic profit

A. horizontal because the demand is perfectly elastic

B. upward-sloping

C. downward-sloping

D. different depending upon the price set

A. gain, lose

B. lose, lose

C. gain, gain

D. lose, gain

A. is greater than the price

B. is less than the price

C. is equal to the price

D. might be more than, less than, or equal to the price, depending on whether the price elasticity of demand exceeds 1.0 in magnitude

A. sets a single, different price for each consumer

B. sets a single price for all customers

C. asks each customer what single price they’d be willing to pay

D. sets a single, different price for each of two different groups

A. a monopoly, consumer surplus

B. the government, economic profit

C. consumers, a monopoly

D. the government, consumer surplus

A. that the firm earns a normal economic profit

B. that the firm maximizes its profits

C. an efficient level of production

D. that the firm earn an economic profit

A. P > MR

B. P < MR

C. P = MR

D. P = elasticity of demand

Compared to a perfectly competitive market, a single-price monopoly sets ________.

A. a lower price

B. the same price

C. a higher price

D. the market price

Social interest theory of regulation asserts that regulation ________.

A. seeks an effective use of resources

B. is aimed at keeping prices as low as possible

C. helps firm maximize economic profit

D. the public cares deeply about regulation

A key idea in price discrimination is to convert consumer surplus into ________.

A. a barrier to entry

B. deadweight loss

C. total cost

D. economic profit

The demand curve for a monopoly is ________.

A. horizontal because the demand is perfectly elastic

B. upward-sloping

C. downward-sloping

D. different depending upon the price set

In a monopoly producers ________ and consumers ________.

A. gain, lose

B. lose, lose

C. gain, gain

D. lose, gain

The marginal revenue for a single-price monopoly with a downward-sloping demand curve ________.

A. is greater than the price

B. is less than the price

C. is equal to the price

D. might be more than, less than, or equal to the price, depending on whether the price elasticity of demand exceeds 1.0 in magnitude

A single-price monopoly ________.

A. sets a single, different price for each consumer

B. sets a single price for all customers

C. asks each customer what single price they’d be willing to pay

D. sets a single, different price for each of two different groups

Rent-seeking is the act of obtaining special treatment by ________ to create ________.

A. a monopoly, consumer surplus

B. the government, economic profit

C. consumers, a monopoly

D. the government, consumer surplus

The outcome of regulating a natural monopoly using the marginal cost pricing rule is ________.

A. that the firm earns a normal economic profit

B. that the firm maximizes its profits

C. an efficient level of production

D. that the firm earn an economic profit

Which is always true for single price monopolies?

A. P > MR

B. P < MR

C. P = MR

D. P = elasticity of demand

Explanation / Answer

1.

C. a higher price

because there is only one seller which enables monopoly to be price maker and charger higher

the above is answer

2.

A. seeks an effective use of resources

they say regulation focus on the attainment of efficiency

the above is the answer

3.

D. economic profit

the above is answer which is generally not possible to earn as monopoly seller does not have information about the customer willingness to pay.

4.

C. downward-sloping

because monopoly seller faces the market demand curve which is downward slopeing as it follows law demand.

the above is the answer

we do only first 4 questions based on Chegg rule.

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