A Monopolist with Constant Marginal Costs Faces a Demand Curve

question 50

True/False

A monopolist with constant marginal costs faces a demand curve with a constant elasticity of demand and does not practice price discrimination.If the government imposes a tax of $1 per unit of goods sold by the monopolist, the monopolist will increase his price by more than $1 per unit.

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Definitions:

Structure Labeled

In microscopy, the identification and tagging of specific cellular or molecular components with labels or markers for study.

Anther

The part of the stamen in flowers that produces microspores and, ultimately, pollen grains.

Endosperm

A nutritive tissue in seeds of most flowering plants, providing sustenance to the developing embryo.

Triploid

An organism or cell having three complete sets of chromosomes, typically resulting from a cross between a diploid and a tetraploid or through nondisjunction events.