• Which of the following is true?

A)A monopoly firm is a price-maker.

B)MR=Pif the demand curve is downward sloping.

C)MR=MCis a profit-maximizing rule for firms in perfect competition only.

D)Monopolies tend to charge lower prices than perfectly competitive firms.

• Which of the following statements istrue?

A)A budget constraint limits what a poor consumer can spend, but there is no similar constraint on rich people.

B)In consumer choice theory, we assume all goods and services are inferior.

C)Utility maximization requires seeking the most utility from a given budget.

D)The slope of the budget constraint depends on how much of each good is consumed.