One way a monopoly can convert additional consumer surplus into economic profit is to
A) become more competitive.
B) produce where price equals average total cost.
C) raise prices.
D) lower prices.
E) price discriminate.

Question

Quizplus · Accepted Answer

By practicing price discrimination, a monopoly can charge different prices to different groups of consumers according to their willingness and ability to pay. This allows the monopoly to capture more of the consumer surplus as economic profit, without losing significant market share.

One Way a Monopoly Can Convert Additional Consumer Surplus into Economic