When an oligopolist individually chooses its level of production to maximize its profits, it produces an output that is ?

Related Mcqs:

1. 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....

2. 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...

3. 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...

4. 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...

5. 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...

6. 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....

7. 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...

8. 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...

9. 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...

10. 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...