Figure 15-15 Figure 15-15 Shows the Cost and Demand Curves for the and Demand

question 41

Multiple Choice

Figure 15-15

Figure 15-15 shows the cost and demand curves for the Erickson Power Company.
-Refer to Figure 15-15.Erickson Power is a natural monopoly because

• A)it is a power company and all power companies are natural monopolies.
• B)average total cost is still declining when it intersects demand.
• C)of its continually declining marginal revenue curve as output rises.
• D)its marginal cost lies entirely below its long-run average cost.

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Definitions:

Self-Disclosure Skills

The ability to reveal personal information about oneself to others appropriately and effectively.

Social Scripts

Schemata or guidelines stored in the brain that dictate behavior in specific social situations, based on cultural expectations and norms.

Desensitization

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Priming Aggressive Thoughts

A process by which exposure to certain stimuli can increase the likelihood of aggressive responses in individuals.