A Firm Which Is a Monopolist in Its Output Market

question 82

Multiple Choice

A firm which is a monopolist in its output market and a monopsonist in an input market is:

• A)inefficient because VMP > MRP and MFC > w.
• B)inefficient because VMP > MRP.
• C)efficient.
• D)inefficient because MFC > w.

---

Definitions:

Standardization of Work Processes

The practice of implementing uniform procedures and criteria in organizational tasks to improve efficiency and quality.

Labour Coordination

The process of organizing and managing a workforce in order to achieve efficient production and meet organizational objectives.

Formal Means

Established, official procedures or methods.

Functional Departmentation

The organization of a company into departments based on functions such as marketing, finance, and production.