EC120 Study Guide - Final Guide: Marginal Revenue Productivity Theory Of Wages, Monopolistic Competition, Monopoly Profit
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At these times, electric companies sometimes ask people to voluntarily cut back on their use of electricity. The profit-maximizing price charged for goods produced is . The intersection of the marginal revenue and marginal cost curves occurs where output is 10 units and marginal cost is . Figure 1: refer to figure 1 to answer questions 10-12: refer to figure 1. The deadweight loss caused by a profit-maximizing monopoly amounts to: , , , , , a monopolist faces the following demand curve: The monopolist has fixed costs of and has a constant marginal cost of per unit. The profits of the firm are ___ and firms will ___the industry: zero; neither enter nor exit, positive; enter, zero; exit, negative; exit, zero; enter. The firms may well reach the monopoly outcome. The firms may well reach the competitive outcome.
