Author Question: Which of the following is likely to result from the regulation of taxicabs in Mexico City? a. The ... (Read 36 times)

evelyn o bentley · **on:** Jun 30, 2018

Which of the following is likely to result from the regulation of taxicabs in Mexico City?
a. The price of taxi rides will decrease.
b. The price of taxi rides will increase.
c. The income of taxi owners will increase.
d. Taxi owners will have greater monopoly power.
e. The supply of taxis will decrease.

Question 2

For a perfectly competitive firm that should continue to operate in the short run, loss is minimized where
a. MR is maximized
b. MR = MC
c. P < MC
d. MR < MC
e. MR > ATC