Multiple-choice questions #3

11.Which of the following are true regardless of market stmcture a} marginal revenue is equal to marginal cost b} marginal revenue is below demand c} average variable cost is below average total cost d} price is determined by demand e} all of the above 12. For a perfect competitor, the shut-down point is where a} marginal cost is equal to average variable cost b} marginal cost is equal to average total cost c} marginal cost is greater than average total cost d} marginal revenue is less than average variable cost e} none of the above 13. In which market structures are short-run prots sustainable a} monopolistic competition and perfect competition b} perfect competition and oligopolyr c} monopoly and oligopolv d} monopoly and monopolistic competition e} none of the above 14. Natural monopoles exist when a} marginal cost crosses the demand curve as the marginal cost curve is falling b} average xed costs crosses the demand curve as the average xed cost curve is falling c} average variable cost crosses the demand curve as the average variable cost curve is falling d} average total cost crosses the demand curve as the average total cost curve is falling e} none of the above 15.The overall effect of a cartel is to a} limit output b} reduce output and raise prices c} act like a monopolistic competitor d} enforce cooperation among its members e} none of the above