객관식
Refer to Figure 15-7. A profit-maximizing monopolist would earn profits equal to:
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12. Monopoly
Monopoly Profit on the Graph
객관식
At this monopolist's profit-maximizing output:
A
Price equals marginal revenue
B
Price equals marginal cost
C
Price exceeds marginal cost
D
Profit per unit is maximized
검증된 단계별 안내1
Identify the key curves on the graph: Demand (D), Marginal Revenue (MR), Marginal Cost (MC), and Average Total Cost (ATC).
Recall that a monopolist maximizes profit by producing the quantity where Marginal Revenue (MR) equals Marginal Cost (MC). Locate this intersection point on the graph.
At the profit-maximizing quantity, draw a vertical line up to the Demand curve to determine the price the monopolist will charge.
Note that at this quantity, the price (from the Demand curve) is greater than the Marginal Cost (MC), which is a characteristic of monopoly pricing.
Understand that the difference between price and marginal cost indicates that price exceeds marginal cost, confirming the statement that at the monopolist's profit-maximizing output, price exceeds marginal cost.
