Suppose Bank-in-the-Box is a monopolist in its market area.If the market wage rate of bank tellers rises, the bank will

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As a monopolist, Bank-in-the-Box has the ability to set its own price for its services. If the market wage rate of bank tellers rises, the bank's costs will increase, and it will need to adjust its price to maintain its profit margin. However, if the bank raises its price too much, it may lose some customers to competitors (if any exist) or deter potential customers from using its services. Therefore, the best choice for the bank would be to raise its price, but not by too much, in order to earn less profit but maintain its customer base.

Suppose Bank-In-The-Box Is a Monopolist in Its Market Area