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The Following Figure Shows the Marginal Cost [MC],marginal Revenue [FH]

Question 26

Multiple Choice

The following figure shows the marginal cost [MC],marginal revenue [FH] and demand [FG] curves for a monopolist who faces constant costs.
Figure 15-1 The following figure shows the marginal cost [MC],marginal revenue [FH] and demand [FG] curves for a monopolist who faces constant costs. Figure 15-1 -Refer to Figure 15-1.If the regulator sets a maximum price of P<sub>2</sub>,the monopolist's demand curve is _____. A) P<sub>2</sub>EG B) FG C) the marginal cost curve D) FH
-Refer to Figure 15-1.If the regulator sets a maximum price of P2,the monopolist's demand curve is _____.


A) P2EG
B) FG
C) the marginal cost curve
D) FH

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