16. If the marginal cost curve shifts up by $10 at every level of output, the oligopolist depicted in Figure 6 will:
  1. reduce output and increase price.
  2. increase his price but leave output the same.
  3. leave price the same but reduce output.
  4. operate at a loss.
  5. leave price and output levels unchanged.

Copyright © 1995-2004 OnLineTexts.com, Inc. - All Rights Reserved