Which Statement Is TRUE About Monopolies

question 152

Multiple Choice

Which statement is TRUE about monopolies?

• A) Monopolies always earn economic profits.
• B) If price falls below the minimum AVC, the monopolist shuts down.
• C) If price falls below the minimum AVC, the monopolist continues to produce where MR = MC.
• D) Monopolies never earn normal profit.

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Definitions:

Alkyl Halides

Organic compounds containing a halogen atom (chlorine, bromine, fluorine, or iodine) bonded to an alkyl group.

Rearrangements

A type of chemical reaction in which the structure of a molecule is rearranged to form a new structure.

Rate

A measure of how fast or slow a chemical reaction occurs.

Dehydration

The chemical process by which a molecule of water is removed from the reactants to form the product.