A monopolist in the radio industry has two radio-making plants. The marginal cost of radio production by Plant A is $4Q (where Q is the number of radios produced) and the marginal cost of radio production by Plant B is always $16 . If the demand curve for radios is downward sloping, the monopolist will
a. never produce radios at Plant A.
b. always produce four times as many radios at Plant B as at A.
c. never produce more than four radios at Plant A.
d. produce radios at Plant A only as a last resort.
c
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