Figure 7.5 -Suppose That Figure 7.5 Shows a Monopolistʹs Demand Curve, Marginal

question 65

Multiple Choice

Figure 7.5
-Suppose that Figure 7.5 shows a monopolistʹs demand curve, marginal revenue, and its cost. The monopolist would maximize its profit by producing a quantity of _______ and by charging a price of _______.

• A)35; $65
• B)50; $50
• C)70; $30
• D)There is not sufficient information.

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Definitions:

False Consensus Effect

The cognitive bias whereby people tend to overestimate how much others agree with their own beliefs, attitudes, or behaviors.

Stimulus Overload Effect

A phenomenon where individuals experience stress or cognitive overload due to an excessive amount of stimuli to process.

Dispositional

Pertaining to one's inherent qualities of mind and character, often used in psychology to describe an individual's tendencies or personality traits.

Uncontrollable

Refers to events or processes that cannot be easily managed or influenced by individuals.