If a pure monopolist is producing at that output whereP= MC, then:

its economic profits will be zero.

it will be realizing losses.

it will achieve economic efficiency.

it will be maximizing its profits or minimizing its losses.

39/ The demand function of a monopoly is such that it can sell 3 units per week at $8 each, but 4 units per week at $7 each. The marginal revenue of the 4th unit per week is:

Group of answer choices

$8

$7

$6.

$4.

The supply curve for a monopolist is:

perfectly elastic.

upsloping.

that portion of the marginal cost curve lying above minimum average variable cost.

nonexistent

37/Which of the following is true for a monopoly?

Its marginal revenue is always equal to the price.

Its supply curve is positively sloping.

It produces a product for which there are close substitutes.

Even though it is a price-maker (has much control over the price it charges), it can make losses at its optimal output.

36/Which of the following is true for the marginal revenue curve of a monopolist?

is a straight, upsloping curve.

rises at first, reaches a maximum, and then declines.

becomes negative when output increases beyond some particular level.

is a straight line, parallel to the horizontal axis.

35/Which of the following describes a monopoly?

any market in which the demand curve to the firm is downsloping.

a standardized product being produced by many firms.

a single firm producing a product for which there are no close substitutes.

a large number of firms producing a differentiated product.

34/A pure monopolist is producing an output such that ATC = $10,P= $12, MC = $5, and MR = $5. This firm is realizing:

an economic profit that could be increased by producing more.

an economic profit that could be increased by producing less.

its maximum economic profit.

an economic loss.