A monopoly:
A) can increase price and increase output at the same time.
B) can charge any price it wants and still sell all of its output.
C) can sell any output it produces provided it accepts the market price.
D) must lower price in order to increase output.
E) faces a perfectly elastic demand curve.

Question

Quizplus · Accepted Answer

A monopoly must lower its price to sell more output because it faces a downward-sloping demand curve, unlike firms in perfect competition.

A Monopoly