I-True/False 1-Since a monopoly charges a price higher than marginal cost, it will produce an inefficient amount

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I-True/False
1-Since a monopoly charges a price higher than marginal cost, it will produce an inefficient
amount of output
2-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.
3-In the long run, a monopolistically competitive firm will operate at the minimum point of the
average cost curve.
4-Oligopoly is a market structure in which there exist many firms, each producing a product that
is a close, but imperfect, substitute for the products of other firms.
5-If a monopolistically competitive firm is making positive economic profits, we would expect
the firm to expand market share and the industry to move toward an oligopoly structure.
6-The value of the marginal product of labor, VMPL, for the perfectly competitive firm equals
the extra revenue the firm gets by selling the output of one additional unit of labor.
7-If the MRPL is greater than the wage rate, and the supply of labor is horizontal, the firm will
hire more labor.
8-Economic rent is the difference between the payment actually received by the owner of a
factor of production and her reservation price.
9-Peak load pricing is designed to shift the demand curve of consumers to the left.