* not completed

. X inefficiency occurs when:

The price is greater than the marginal cost correct incorrect

The price is greater than the average cost correct incorrect

Costs are higher than they could be due to a lack of competitive pressure correct incorrect

There are external costs correct incorrect

* not completed

. The marginal revenue curve in monopoly:

Equals the demand curve correct incorrect

Is parallel with the demand curve correct incorrect

Lies below and converges with the demand curve correct incorrect

Lies below and diverges from the demand curve correct incorrect

* not completed

. In monopoly when abnormal profits are made:

The price set is greater than the average cost correct incorrect

The price is less than the marginal cost correct incorrect

The average revenue equals the marginal cost correct incorrect

Revenue equals total cost correct incorrect

* not completed

. In monopoly in long run equilibrium:

The firm is productively efficient correct incorrect

The firm is allocatively inefficient correct incorrect

The firm produces where marginal cost is less than marginal revenue correct incorrect

The firm produces at the socially optimal level correct incorrect

* not completed

. A monopolist faces:

An upward sloping demand curve correct incorrect

A perfectly elastic demand curve correct incorrect

A downward sloping demand curve correct incorrect

A demand curve with a positive price elasticity of demand correct incorrect

* not completed

. In a monopoly which of the following is not true?

Products are differentiated correct incorrect

There is freedom of entry and exit into the industry in the long run correct incorrect

The firm is a price maker correct incorrect

There is one main seller correct incorrect

* not completed

. In monopoly which of the following is true?

There are many buyers and sellers correct incorrect

There is one main buyer correct incorrect

There is one main seller correct incorrect

The actions of one firm do not affect the market price and quantity correct incorrect

* not completed

. According to Schumpeter:

Monopolies have many firms in the market and similar products correct incorrect

Monopoly profits act as an incentive for innovation correct incorrect

Monopolies are allocatively efficient correct incorrect

Monopolies are price takers correct incorrect

* not completed

. A welfare loss occurs in monopoly where:

The price is greater than the marginal cost correct incorrect

The price is greater than the marginal benefit correct incorrect

The price is greater than the average revenue correct incorrect

The price is greater than the marginal revenue correct incorrect

* not completed

. UK the Competition and Markets Authority (CMA)

Bans monopolies correct incorrect

Fines all monopolies correct incorrect

Prevents firms acquiring more than 25% of the market correct incorrect

Has the right to investigate monopolies and will assess each one on its own merits correct incorrect