Solved

-Use the Figure Above to Answer This Question

Question 63

Multiple Choice

-Use the figure above to answer this question.Mary is the only veterinarian in a small town and rents a space for her practice.If Mary's landlord decided to charge ________ per hour in rent,Mary would ________. A) $20 more; earn $0 economic profit B) $20 more; still earn an economic profit because she is a monopolist C) $30 more; earn $0 economic profit D) $10 less; raise her prices and earn a higher profit E) $30 more; operate on the inelastic portion of her demand curve
-Use the figure above to answer this question.Mary is the only veterinarian in a small town and rents a space for her practice.If Mary's landlord decided to charge ________ per hour in rent,Mary would ________.


A) $20 more; earn $0 economic profit
B) $20 more; still earn an economic profit because she is a monopolist
C) $30 more; earn $0 economic profit
D) $10 less; raise her prices and earn a higher profit
E) $30 more; operate on the inelastic portion of her demand curve

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Q58: A natural monopoly's output is less if

Q59: One way a monopoly can convert additional

Q60: <img src="https://d2lvgg3v3hfg70.cloudfront.net/TB1458/.jpg" alt=" -The above figure

Q61: Under the social interest theory of regulation,the

Q62: Can a monopoly make an economic profit

Q64: For a natural monopoly,economies of scale<br>A) exist

Q65: Which of the following is NOT correct

Q66: If Microsoft is a monopoly and currently

Q67: In order for a hotel to successfully

Q68: With perfect price discrimination,the level of output<br>A)