A Monopolist Maximizes Profits by

question 652

Multiple Choice

A monopolist maximizes profits by

• A)producing an output level where marginal revenue equals marginal cost.
• B)charging a price that is greater than marginal revenue.
• C)earning a profit of (P - MC) x Q.
• D)Both a and b are correct.

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Definitions:

Internal Consistency

A measure of reliability that assesses how consistently the items of a test measure a single construct or concept.

Coefficient Alpha

A statistical measure used to assess the reliability or internal consistency of a test or scale.

Kuder-Richardson

A set of formulas used to assess the reliability of binary (e.g., true/false, yes/no) scored tests or items within tests.

Low Validity

refers to the situation where a test does not accurately measure what it is supposed to measure, indicating a weak relationship between test scores and the intended construct.