1. The lorenz curve cannot be used to show
a. a summary of the distributions of income
b. how a given income is distributed among the population
c. the fairest distribution of income
d. an equal distribution of income
e. the Lorenz curve can be used to show all of the above
2. In the case of a natural monopoly where cost conditions lead to a sole supplier, regulation is used to ensure that
a. the monopoliist does not oversupply the market
b. competition can be enhanced
c. price and output are more beneficial for consumers than would be the case without government interference
d. the monopolist does not try to expand internationally
e. the monopolist does not attempt to further increase market share