When there is a foreign monopoly exporting to the home nation, under
Free trade it will sell a quantity where the home ______ is just equal
To the foreign ______.

Question

Quizplus · Accepted Answer

Under free trade, a foreign monopoly will sell a quantity where its marginal revenue (MR) is equal to its marginal cost (MC), as this is the profit-maximizing condition for any monopolist.

When There Is a Foreign Monopoly Exporting to the Home