Author Question: If the demand for its product is inelastic, a monopoly's A) total revenue increases when the firm ... (Read 154 times)

sdfghj · **on:** Jun 29, 2018

If the demand for its product is inelastic, a monopoly's

A) total revenue increases when the firm lowers its price.
B) total revenue is unchanged when the firm lowers its price.
C) marginal revenue is negative.
D) marginal revenue is equal to zero.

Question 2

If a firm's marginal product of labor is less than its average product of labor, then an increase in the quantity of labor it employs definitely will

A) decrease its total product.
B) decrease its average product of labor.
C) increase its marginal product of labor.
D) not change its average product of labor.