Which of the following statements is FALSE? A) A perfectly competitive market pr

Question

Which of the following statements is FALSE?

A) A perfectly competitive market produces more output and charges a lower price than a monopoly.

B) The consumer surplus is smaller for a market with a monopoly than for a perfectly competitive market.

C) In the long run, a monopoly can earn a larger economic profit than can a perfectly competitive firm.

D) In a perfectly competitive market, the price is equal to the marginal cost, but in a market with a single-price monopoly, price exceeds marginal cost.

E) A perfectly competitive firm produces where MR = MC but a monopoly produces where MR > MC.

A) A perfectly competitive market produces more output and charges a lower price than a monopoly.

B) The consumer surplus is smaller for a market with a monopoly than for a perfectly competitive market.

C) In the long run, a monopoly can earn a larger economic profit than can a perfectly competitive firm.

D) In a perfectly competitive market, the price is equal to the marginal cost, but in a market with a single-price monopoly, price exceeds marginal cost.

E) A perfectly competitive firm produces where MR = MC but a monopoly produces where MR > MC.

Explanation / Answer

STATEMENT E

Related Questions

Navigate

• Browse (All)
• Browse W
• Subjects

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.