Author Question: A monopolist can: a. produce as much or as little as it wants without affecting price. b. decide ... (Read 39 times)

waynest · **on:** Jun 30, 2018

A monopolist can:
a. produce as much or as little as it wants without affecting price.
b. decide the price that will be charged in the market.
c. provide discounts below market price to attract more customers.
d. price its products by considering the possible reactions of future competitorsor firms that produce close substitutes for its output.

Question 2

Which of the following refers to a natural monopoly?
a. A monopoly resulting from government control
b. A monopoly resulting from economies of scale
c. A monopoly resulting from output leadership
d. A monopoly resulting from a large advertising budget
e. A monopoly resulting from trade restrictions