Question 1

If you want to enjoy a Major League Baseball game at the stadium in St Louis, you must patronize the Cardinals.This makes the Cardinals organization a

Accepted Answer

A)  purely competitive firm in St Louis.
B)  monopoly firm in St Louis.
C)  monopoly firm in Major League Baseball.
D)  purely competitive firm in Major League Baseball.E) None of the above
F) A) and D)

Question 2

Price discrimination occurs whenever a firm sells a good for two different prices.

Accepted Answer

A) True 
 B)False

Question 3

Which would definitely not be an example of price discrimination?

Accepted Answer

A)  A movie theater charges children less than adults for a movie ticket.
B)  Universities charge higher tuition for out-of-state residents than for in-state students.
C)  A doctor charges for services according to the income of individual patients.
D)  An electric power company charges less for electricity used during off-peak hours, when production costs are lower.E) B) and D)
F) A) and D)

Question 4

For an imperfectly competitive firm,

Accepted Answer

A)  total revenue is a straight, upsloping line because a firm's sales are independent of product price.
B)  the marginal revenue curve lies above the demand curve because any reduction in price applies to all units sold.
C)  the marginal revenue curve lies below the demand curve because any reduction in price applies to all units sold.
D)  the marginal revenue curve lies below the demand curve because any reduction in price applies only to the extra unit sold.E) All of the above
F) C) and D)

Exam 12: Pure Monopoly

Price discrimination occurs whenever a firm sells a good for two different prices.

Correct Answer
verified

If you want to enjoy a Major League Baseball game at the stadium in St Louis, you must patronize the Cardinals.This makes the Cardinals organization a

Correct Answer
verified

For an imperfectly competitive firm,

Correct Answer
verified

Which would definitely not be an example of price discrimination?

Correct Answer
verified

Exam 12: Pure Monopoly

Price discrimination occurs whenever a firm sells a good for two different prices.

Correct AnswerverifiedShow Answer

If you want to enjoy a Major League Baseball game at the stadium in St Louis, you must patronize the Cardinals.This makes the Cardinals organization a

Correct AnswerverifiedShow Answer

For an imperfectly competitive firm,

Correct AnswerverifiedShow Answer

Which would definitely not be an example of price discrimination?

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified