Author Question: If a regulatory board wanted to make sure that a natural monopoly chose a price resulting in the ... (Read 32 times)

shenderson6 · **on:** Jun 30, 2018

If a regulatory board wanted to make sure that a natural monopoly chose a price resulting in the efficient level of output, it should set a price equal to:
a. marginal cost.
b. average fixed cost.
c. average variable cost.
d. average total cost.

Question 2

A commodity money standard exists when exchange rates are:
a. artificially pegged to the price of oil.
b. fixed in terms of gold, thus creating flexible exchange rates between countries.
c. fixed in terms of gold, thus creating fixed exchange rates between countries.
d. allowed to fluctuate based on the values of different currencies.
e. fixed, based on the values of different currencies, in terms of some commodity.