micro 12
Refer to the graph for a profit-maximizing monopolist. The firm will set its price at:
0J
the table shows the demand schedule facing Nina, a monopolist selling baskets. What is the change in total revenue if she lowers the price from $20 to $18?
30
Natural monopolies result from:
Extensive economies of scale in production
Pure monopolists:
Operate where P > MC
The data below relate to a pure monopolistic and the product it produces. What is the profit maximizing output and price for this monopolist?
P=$14; Q=4
An exclusive legal right as sole producer for 20 years granted to an inventor of a product is called a:
Patent
At the profit-maximizing level of output for a monopolist:
Price is greater than marginal cost
At equilibrium, the profit-maximizing monopolist facing the situation shown in the graph will face a negative:
Profit
If marginal costs decrease and the MC curve shifts down, a typical monopolist will:
Reduce price and increase quantity of output
One feature of pure monopoly is that the demand curve:
Slopes downward
refer to the graphs of d & mr for a monopolist. which of the following statements is true?
a price cut from P1 to P2 would lead to an increase in consumer spending on the product
one feature of pure Monopoly is that the firm is
a price maker
the following graph shows I total revenue curve for a monopolist. when total revenue declines as output expands, demand is
in elastic
a non-discriminating monopolist will find that marginal revenue:
is less than average revenue or price
Assume that a monopolist faces a linear demand curve. If the firm is operating at an output level where marginal revenue is positive, the firm:
is operating in the elastic portion of its demand curve
The supply curve for a monopoly is:
not clearly defined
Answer the question below on the basis of the following demand and cost data for a pure monopolist. At equilibrium, the monopolist will realize a:
profit of $6.50
if marginal costs decrease and the MC curve shifts down, a typical monopolist will
reduce price and increase quantity of output
refer to the graph showing a linear demand curve for a monopolist. which of the following statements is correct?
the area 0QVS is greater than the area 0RWT