1.If all firms in a market are identical, have upward-sloping marginal cost curves, and input prices are perfectly elastic, then the competitive long-run market supply curve will be:

a.we cannot say without more information

b.horizontal

c.downward sloping

d.upward sloping

2.

Price Marginal Cost Demand (value to buyers) On Quantity ['his graph depicts the demand and marginal-cost curves of a prot-maximising monopolist. Use the graph to answer the following question(s). Refer to Graph 154. If the monopoly operates at an output level below Q 0, decreasing output would: 0 a. lower the price and raise total surplus O b. raise the price and lower total surplus O c. raise the price and raise total surplus 0 d. lower the price and lower total surplus