Micro Economics help!?
A)supply is elastic.
B)demand is elastic.
C)the price elasticity of demand is less than 1.
D)demand is inelastic.
15.For a profit-maximizing monopolist,
A)P = MR.
B)P = MC.
C)P > MC.
D)P = ATC.
16.A monopolist engages in price discrimination
A)by charging a higher price when marginal cost is lower.
B)by charging a higher price to consumers whose demand is more elastic.
C)by charging the same price to all consumers.
D)by charging a lower price to consumers whose demand is more elastic.
17.Economic inefficiency of a monopoly is indicated by
A)MR = MC.
B)P = ATCmin.
C)P > MR.
D)P > MC.
18.The main objective of advertising for a monopolistically competitive firm is
A)to earn long run profits.
B)to reduce cost.
C)to differentiate the product and boost demand.
D)none of the above.