-In the above figure, a single-price monopolist charges a price of ________ and the equilibrium competitive price is ________.
A) $10; $20
B) $20; $30
C) $30; $20
D) $30; $10

Question

-In the above figure, a single-price monopolist charges a price of ________ and the equilibrium competitive price is ________.
A) $10; $20 
B) $20; $30 
C) $30; $20 
D) $30; $10

Quizplus · Accepted Answer

In a monopoly, the price is set where marginal cost equals marginal revenue, which is typically higher than the competitive equilibrium price where supply equals demand.

-In the Above Figure, a Single-Price Monopolist Charges a Price