# Mathematical Economics Set 7

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This set of Mathematical Economics Multiple Choice Questions & Answers (MCQs) focuses on Mathematical Economics Set 7

Q1 | In an input-output matrix, the principal diagonal of this matrix represents the amount of inputeach industry takes from ___output.
Q2 | P = a – bQ is the demand cure of a monopolist. Which of the following statements istrue?
Q3 | The best or optimum level of output for a perfectly competitive firm is given by the point:
Q4 | In a monopoly, marginal revenue is:
Q5 | In monopoly, when the demand curve is elastic, MR is:
Q6 | In monopoly, if p = Rs. 10 at the point on the demand curve where η = 0.5, MR is:
Q7 | If the demand curve for a monopolist is P = 100 -20Q, then the marginal revenue of thatfirm is given by the equation:
Q8 | If the demand facing a monopolist is P = 100 − 10Q and marginal cost is constant at 20, thenthe profit maximizing price and quantity for this monopolist are:
Q9 | A profit-maximizing monopoly firm with a demand curve P = 50 − Q is a perfect pricediscriminator. If it has marginal costs of Rs. 10/unit and fixed costs of Rs. 30, it will produce_____ units of output and will make______ profit.
Q10 | A price discriminating Monopolist is considered more efficient than a single pricesmonopolist because:
Q11 | One difference between perfect competition and monopolistic competition is that:
Q12 | A perfectly competitive firm should reduce output or shut down in the short run if marketprice is equal to marginal cost and price is:
Q13 | The market demand curve for a perfectly competitive industry is QD = 12 - 2P. The marketsupply curve is QS = 3 + P. The market will be in equilibrium if:
Q14 | In the short run, a monopolist will shut down if it is producing a level of output wheremarginal revenue is equal to short-run marginal cost and price is: