Question 1 of 20A firm produces at that output at which marginal cost = marginal revenue:A. all of the time. B. most of the time. C. some of the time. D. on rare occasions. Question 2 of 20Which statement is true?A. The marginal cost curve is used to determine if a firm is operating at peak efficiency. B. A firm will always try to maximize its total revenue. C. A firm's long-run supply curve is identical to its entire marginal cost curve. D. A firm is operating most efficiently when it is at its break-even point. Question 3 of 20Which statement is true?A. Price is calculated by dividing output by total revenue. B. The lowest point on the short-run supply curve is at the break-even point. C. When price exceeds marginal cost, a profit-maximizing firm will decrease production. D. The marginal cost curve intersects the average total cost curve at the break-even point Question 4 of 20To find the output at which the firm maximizes its profits you must know the firm's:A. ATC. B. AVC. C. AFC. D. MC. Question 5 of 20The monopolist and the perfect competitor differ in that:A. they face different demand curves. B. the monopolist does not always produce at an output in which MC = MR. C. the monopolist is always a large firm. D. the monopolist is more efficient. Question 6 of 20Which statement is true?A. The monopolist operates at the minimum point of her average total cost curve. B. Once a monopoly is set up, it is impossible to dislodge it. C. Monopolies are always large firms. D. Price is always read off the demand curve. Question 7 of 20Which statement is true?A. All monopolists' products have close substitutes. B. Most firms in the United States are monopolies. C. There are no monopolies in the United States. D. A monopoly is a firm that produces all the output in an industry. Question 8 of 20The monopolist is a(n):A. imperfect competitor and has a horizontal demand curve. B. imperfect competitor and has a downward-sloping demand curve. C. perfect competitor and has a horizontal demand curve. D. perfect competitor and has a downward-sloping demand curve. Question 9 of 20Price is always read off the __________ curve.A. MC B. MR C. ATC D. demand Question 10 of 20The most efficient output is found:A. where MC and MR cross. B. at the bottom of the ATC curve. C. when the demand and MR curves are equal. D. where the ATC and demand curves cross. Question 11 of 20The basis for monopolistic competition is:A. product differentiation. B. price. C. economies of scale. D. reaching a break-even point. Question 12 of 20__________ is (are) legal in the United States.A. Convert collusion B. Cut throat competition C. Cartels D. Price fixing Question 13 of 20A Herfindahl-Hirschman Index of 10,000 would mean there is (are) how many firm(s) in the industry?A. 1 B. 10 C. 100 D. 1000 Question 14 of 20The least competitive industry would be one that has:A. price leadership. B. covert collusion. C. overt collusion. D. a cartel. Question 15 of 20Which statement is true?A. The monopolistic competitor always makes a profit in the short run. B. The monopolistic competitor operates at peak efficiency. C. Product differentiation takes place in the minds of the buyers. D. Most consumers would prefer lower prices and less product differentiation. Question 16 of 20Monopolistic competition differs from perfect competition only with respect to:A. the number of firms in the industry. B. product differentiation. C. barriers to entry. D. economies of scale. Question 17 of 20In the long run in monopolistic competition:A. most firms are making a profit. B. the absence of entry barriers ensures that there are no profits. C. economies of scale ensure that there are no profits. D. most firms are losing money. Question 18 of 20Which statement is true?A. Most firms in the United States are monopolistic competitors. B. Most firms in the United States are perfect competitors. C. Most consumers would prefer lower prices and less product differentiation. D. The monopolistic competitor always makes a profit in the short run. Question 19 of 20The closer the industry concentration ratio is to 100, the more likely it is that:A. there are a reasonably large number of medium-sized firms. B. this is an industry approaching perfect competition. C. there is a small number of large firms. D. price competition is being practiced. Question 20 of 20Which is the least competitive?A. Overt collusion B. Covert collusion C. Price leadership D. All are equally competitive
Hello and welcome. I am working on your questions and will post in a short while.RegardsLinda
Please click here for solutionIf you have more questions for today I would be happy to help you. You can request me by writing "FOR LINDA".
Business Analyst and Solution Consultant with over 9 years of experience.