If a monopolist is producing a level of output where MR is less than MC,then it should
A)Shift its marginal cost curve upward.
B)Increase its output.
C)Lower its output.
D)Lower its price.

Question

Quizplus · Accepted Answer

If a monopolist is producing a level of output where MR is less than MC, then the additional cost of producing an extra unit is more than the additional revenue generated by that unit. Therefore, the monopolist should reduce its output to increase its profitability.

If a Monopolist Is Producing a Level of Output Where