Of the monopoly, dominant firm, and monopolistic competition models, ______use marginal analysis to determine the profit- maximizing quantity of production.

Question

Quizplus · Accepted Answer

All three models use marginal analysis to determine the profit-maximizing quantity of production. Marginal analysis involves comparing the cost and revenue of producing one more unit to determine if it increases profit. This technique is used by all three models to find the optimal quantity of production that maximizes profits.

Of the Monopoly, Dominant Firm, and Monopolistic Competition Models, ______Use