Assume the figure applies to a pure monopolist and that MC is the same for both graphs. If this firm is able to price discriminate between children and adults, its profit-maximizing level of output will be
A)realize a smaller economic profit than a nondiscriminating monopolist.
B)produce a larger output than a nondiscriminating monopolist.
C)produce the same output as a nondiscriminating monopolist.
D)produce a smaller output than a nondiscriminating monopolist.

Question

Assume the figure applies to a pure monopolist and that MC is the same for both graphs. If this firm is able to price discriminate between children and adults, its profit-maximizing level of output will be
A)realize a smaller economic profit than a nondiscriminating monopolist. 
B)produce a larger output than a nondiscriminating monopolist. 
C)produce the same output as a nondiscriminating monopolist. 
D)produce a smaller output than a nondiscriminating monopolist.

Quizplus · Accepted Answer

The Answer of  Assume the figure applies to a pure monopolist and that MC is the same for both graphs. If this firm is able to price discriminate between children and adults, its profit-maximizing level of output will be
A)realize a smaller economic profit than a nondiscriminating monopolist. 
B)produce a larger output than a nondiscriminating monopolist. 
C)produce the same output as a nondiscriminating monopolist. 
D)produce a smaller output than a nondiscriminating monopolist.

Assume the Figure Applies to a Pure Monopolist and That