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Vlad1618 [11]
2 years ago
7

Labor unions and businesses in the heavy equipment industry have asked the u.s. congress to place a tax on imported equipment in

order to make it more expensive. they hope that this will allow u.s. producers to be more competitive. the u.s. heavy equipment industry appears to be seeking a(n):
Business
1 answer:
Ann [662]2 years ago
8 0

Answer: Protective tariff

Explanation: Protective tariffs are basically designed to protect the domestic producers from foreign competition. These tariffs raise the retail price of imported products making them expensive in comparison to domestic  products and thereby making domestic products more  competitive.

Thus, by placing a tax on imported equipment in order to make it more expensive, these industries hope that <em>Protective tariff</em> will allow u.s. producers to be more competitive.

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Demand and cost information for a monopoly
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Please see the Demand and Cost information reproduced in the attached table

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The correct choice is A)

Profit if maximized where price is equal to $20.

At this price, MR = MC.

Please see the attached PDF.

Explanation:

The profit-maximizing choice for the monopoly will be to produce at the quantity where marginal revenue is equal to marginal cost:

That is, the point where MR = MC.

If the monopoly produces a lower quantity, then MR > MC at those levels of output, and the firm can make higher profits by expanding output.

Cheers!  

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