23. A monopoly is: a. A price taker. b. The same as monopolistic competition. c. This is not the correct answer. d. A price maker. 24. A price ceiling in monopoly . leads to less output, just like in perfect competition. . leads to more output compared to no price ceiling. . doesn't change the output. . This is not the correct answer. 25. A monopoly rm will operate on the: a. unitary elastic portion of the demand curve where total revenue is maximum. b. elastic portion of the demand curve where marginal revenue is positive. 0. inelastic portion of the demand curve where marginal revenue is zero. d. the inelastic portion of the demand curve where marginal revenue is increasing. 26. All of the following are sources of monopoly power, except a. patents b. unique access to an essential input 0. economies of scale d. homogeneity of products 27. Which of the following statements is not true? a. Average fixed cost falls, reaches a minimum, and begins to rise. b. Average total cost falls, reaches a minimum and begins to rise. 0. Average variable cost falls, reaches a minimum and begins to rise. of. Marginal cost falls, reaches a minimum and begins to rise. 28. The expansion path tells you: a. the most expensive combination of outputs. b. the rm's demand curves for the inputs. 0. the various combinations of inputs that can be used to produce a one level of output. d. the least costly combination of inputs required to produce various levels of output. 29. The short-run supply curve for the firm operating in a perfectly competitive industry is: a. its marginal cost curve. b. its marginal cost curve above the minimum of average variable cost. c. its marginal cost curve above the minimum of average total cost. d. This is not the correct answer. 30. The perfectly competitive rm maximizes profits by producing at the rate of output where: a. marginal revenue and marginal cost are equal. b. marginal revenue exceeds marginal cost by the greatest amount. 0. the profit per unit is the highest. d. marginal cost is at its minimum. Part III (20 points) a. For Good X, demand is elastic compared to supply. Who pays the bigger portion of an excise tax on good X? Demonstrate using a graph. {7 points) b. For Good Z, demand is inelastic compared to supply. Who pays the bigger portion of an excise tax on good Z? Demonstrate using a graph. {7 points) c. Does the government usually put excise taxes on goods with inelastic demand or elastic demand? Briefly, why? (6 points)