Started on Monday, 1 October 2018, 1:55 PM
State Finished
Completed on Monday, 1 October 2018, 10:27 PM
Time taken 8 hours 32 mins
Marks
... [Show More] 15.70/20.00
Grade 7.85 out of 10.00 (79%)
Question 1
Correct
Mark 1.00 out of 1.00
Which of the following is a characteristic shared by a perfectly competitive firm and a monopoly?
Select one:
a. Each must lower its price to sell more output.
b. Each maximizes profits by producing a quantity for which price equals marginal cost.
c. Each maximizes profits by producing a quantity for which marginal revenue equals marginal
cost.
d. Each sets a price for its product that will maximize its revenue.
Your answer is correct.
The correct answer is: Each maximizes profits by producing a quantity for which marginal revenue equals marginal cost.
ECON528-850-ECON528-010-201920
Question 2
Correct
Mark 1.00 out of 1.00
Consider the following characteristics:
a. a market structure with barriers to entry
b. demand curves that are easily identified
c. firm cannot make zero profits in the long run
d. firm can reap long run profits.
Which of the characteristics in the list above is shared by an oligopolist and a monopolist?
Select one:
a. a, c, and d
b. a and d
c. a, b, and d
d. a, b, c, and d
Your answer is correct.
The correct answer is: a and d
Question 3
Complete
Mark 0.70 out of 1.00
If you own the only bookstore in a small town, do you have a monopoly?
Yes, because a monopoly is defined as a single seller with no competitors.
Because consumers in your town could buy books on the Internet or by driving to another town that has
a bookstore store, you would not have a monopoly under the narrow definition of the term. However,
because competition from on-line sellers and stores in other towns may not be sufficient to eliminate
your economic profits in the long run, you may have a monopoly in the broader sense of the term.
Comment:
Question 4
Correct
Mark 1.00 out of 1.00
Figure 15-2 below shows the demand and cost curves facing a monopolist.
Refer to Figure 15-2. To maximize profit, the firm will produce
Select one:
a. Q1.
b. Q4.
c. Q3.
d. Q2.
Your answer is correct.
The correct answer is: Q2.
Question 5
Not answered
Marked out of 1.00
Explain why the monopolist has no supply curve?
A supply curve that shows the relationship between the price of a product and the quantity that
suppliers are willing and able to supply. The monopolist selects its profit maximizing output by equating
marginal revenue to marginal cost and takes the price dictated by the demand curve. Thus, there is no
array of prices and quantities supplied.
Question 6
Correct
Mark 1.00 out of 1.00
Interdependence of firms is most common in
Select one:
a. monopolistically competitive industries.
b. monopolistic industries.
c. monopolistically competitive and oligopolistic industries.
d. oligopolistic industries.
Your answer is correct.
The correct answer is: oligopolistic industries. [Show Less]