64 702
Assignments Done
99,4%
Successfully Done
In September 2018

Answer to Question #52941 in Microeconomics for Yana

Question #52941
multiple choice
1. Which of the following is true under natural monopoly?
a. The marginal cost curve will be above the average cost curve.
b. The monopolist will set price equal to marginal cost and will earn economic profits.
c. Economies of scale exist.
d. Output is produced under conditions of constant cost.

2. The demand curve any monopolist uses in making output decisions is:
a. the same as the demand curve facing a perfectly competitive firm.
b. vertical, because there are no close substitutes for its product.
c. horizontal, because there are no close substitutes for its product.
d. the same as the market demand curve.
e. perfectly inelastic.
Expert's answer
c. Economies of scale exist.
d. the same as the market demand curve.

Need a fast expert's response?

Submit order

and get a quick answer at the best price

for any assignment or question with DETAILED EXPLANATIONS!

Comments

No comments. Be first!

Leave a comment

Ask Your question

Submit
Privacy policy Terms and Conditions