The Monopolist's Demand Curve

question 2

Multiple Choice

The monopolist's demand curve:

• A) slopes down and to the right.
• B) is a horizontal line.
• C) shows that the firm must increase price to sell more output.
• D) slopes up and to the right.

---

Definitions:

Seasonal Unemployment

Unemployment resulting from the seasonal pattern of work in certain industries, with workers regularly laid off during the slow season and rehired during the busy season.

Unemployment Rate

The unemployment rate is the percentage of the labor force that is jobless and actively seeking employment.

Natural Rate

The natural rate of unemployment is the level of unemployment consistent with a stable rate of inflation.

Inflationary Wage

Wage increases that match or exceed the rate of inflation, aimed at maintaining or increasing purchasing power over time.