To maximize profit, the monopolist produces on the ________ portion of its demand where ________.
A) elastic; P = MC
B) elastic; MR = MC
C) inelastic; P = MC
D) inelastic; MR = MC

Question

Quizplus · Accepted Answer

A monopolist maximizes profit by producing where marginal revenue (MR) equals marginal cost (MC), and this occurs on the elastic portion of the demand curve.

To Maximize Profit, the Monopolist Produces on the ________ Portion