A monopoly
A) faces a perfectly elastic demand curve.
B) does not need to take account of demand because it's the only seller.
C) is able to raise the price it can charge for its product by increasing the quantity sold.
D) is able to raise the price it can charge for its product by decreasing the quantity sold.

Question

Quizplus · Accepted Answer

A monopoly can raise the price it charges by decreasing the quantity sold because it faces a downward-sloping demand curve, meaning it has some control over the price.

A Monopoly