Because a monopoly's demand curve is the same as the market demand curve for its product
A) the monopoly's marginal revenue equals its price.
B) the monopoly is a price taker.
C) the monopoly must lower its price to sell more of its product.
D) the monopoly's average total cost always falls as it increases its output.
Answer: C
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According to the rational expectations school, if the Fed announces a policy of rapid growth in the money supply, but then puts the brakes on money expansion without any announcement, which of the following is likely to be the short-run result?
a. An unexpected surge in aggregate demand b. An unexpected drop in aggregate demand. c. An anticipated surge in aggregate demand. d. An anticipated drop in aggregate demand. e. No change in aggregate demand.
The unemployment rate for people with less education typically is ________________ than for those with higher levels of education.
a. lower b. longer c. higher d. shorter
If the percent change in price is greater than the percent change in quantity demanded, then demand is price inelastic
Indicate whether the statement is true or false
Net benefit is equal to total benefit minus marginal cost
a. True b. False Indicate whether the statement is true or false