For a monopoly able to practice perfect price discrimination, the market
A) supply curve is the same as the marginal cost curve.
B) supply curve is the same as the marginal revenue curve.
C) demand curve is the same as the marginal cost curve.
D) demand curve is the same as the marginal revenue curve.

Question

Quizplus · Accepted Answer

In perfect price discrimination, a monopoly charges each consumer their maximum willingness to pay, making the demand curve the same as the marginal revenue curve, as each unit sold adds directly to revenue without reducing the price of other units.

For a Monopoly Able to Practice Perfect Price Discrimination, the Market