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Commerce · Q1335

Economics

Graduate and Post Graduate · Commerce · question 1335

Q1335

Which of the following statements are true according to Prof. Schumpeter about a monopolist? 1. Monopolies are inefficient. 2. Monopoly profits acts as an incentive for innovation. 3. AR is equal to MR. Select the correct answer

A.
Both 1 and 2
B.
Both 2 and 3
C.
Only 2
Answer
D.
Only 1

Answer: Option C

Solution

Answer: Option C
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