A. more than the level produced by a monopoly and less than the level produced by a competitive market
B. less than the level produced by a monopoly and more than the level produced by a competitive market
C. less than the level produce by either monopoly or a competitive market
D. more than the level produced by either monopoly or a competitive market
Related Mcqs:
- Suppose an oligopolist individually maximizes its profits. When calculating profits, if the output effect exceeds the price effect on the marginal unit of production, then the oligopolist ?
A. Should produce more units
B. has maximized profits.
C. is in a Nash equilibrium
D. Should produce fewer units
E. should exit the industry. - When a oligopolist individually chooses its level of production to maximize its profits it charges a price that is ?
A. more than the price charged by either monopoly or a competitive market
B. less than the price charged by either monopoly or a competitive market
C. more than the price charged by a monopoly and less then the price charged by a competitive market
D. less than the price charged by a monopoly and more than the price charged by a competitive market - The competitive firm maximize profit when it produces output up to the point where ?
A. price equals average variable cost
B. marginal revenue equals average revenue
C. marginal cost equals total revenue
D. marginal cost equals marginal revenue - The ability of the Organization of Petroleum Exporting Countries (OPEC) to maximize profits is hampered by ?
A. a lack of substitutes for oil
B. similar cost schedules for member countries
C. highly inelastic world demand curve for oil
D. economic recession for oil importing nations - In order to maximize profits, a monopoly company will produce that quantity at which the ?
A. marginal revenue equals average total cost
B. Price equals marginal revenue
C. marginal revenue equals marginal cost
D. total revenue equals total cost - Public limited companies may not maximize their profits because ?
A. they are afraid of encouraging takeovers.
B. shareholders have little control over managers.
C. shareholders want higher dividends.
D. both the first and third option. - A firm may be unable to maximize profits because it ?
A. does not know its MC and MR
B. has too much information
C. has too little information
D. The first and third option - Suppose that the firms collude and become a cartel The best level of output for the cartel as a whole is ___________ the price equals __________ and profits total __________?
A. 2 million barrels per day, $100, $60 million
B. 4 million barrels per day, $80, $160 million
C. 6 million barrels per day, $60, $60 million
D. 8 million barrels per day, $40, $20 million - A competitive firm produces a level of output at which ?
A. Price is greater than marginal cost
B. price equals marginal cost
C. price is less than marginal cost
D. None of the above - If a company (considering its options on the product/market expansion grid) chooses to move into different unrelated fields (from what it ha ever done before) with new products as a means to stimulate growth the company would be following which of the following general strategies ?
A. market penetrations
B. market development
C. product development
D. diversification
