Since natural have a declining average cost curve by setting price equal to cost
ID: 1215400 • Letter: S
Question
Since natural have a declining average cost curve by setting price equal to cost would cause the monopolist to operate at a loss. result in a less than optimal total surplus. maximize producer surplus. result in higher profits for the monopoly. Which of the following groups or entities has the authority to initiate legal suits to enforce antitrust laws? The U.S. Justice Department Private citizens - c. Corporations All of the above are correct. One method used to control the ability of firms to capture monopoly profit in the United States is through government purchase of products produced by monopolists. government distribution of a monopolist's excess production. enforcement of antitrust laws. regulation of firms in highly competitive markets. The manufacturer of Bozz Radios sells radios to retail stores for $500 each, and it requires the retail stores to charge customers S550 per radio. Any retailer that charges less than S550 would violate its contract with Bozz Radios. What do economists call this business practice? Predatory pricing Resale price maintenance Tying Leverage When a natural monopoly exists, it is.. always cost effective for government-owned fumes to produce the product b never cost effective for one firm to produce the project.Explanation / Answer
17.
Ans is a
18.
Ans is D
19.
ans is c
20.
Ans is b
Resale price maintenance (RPM) (US) or Retail Price Maintenance (UK) is the practice whereby a manufacturer and its distributors agree that the distributors will sell the manufacturer's product at certain prices (resale price maintenance).
21
Ans is d