Assuming that all consumers pay the same price for a good or service, in a monopoly, price is _____ than marginal revenue for everything sold after the first one.
A) less than
B) greater than
C) equal to
D) first greater and then less

Question

Quizplus · Accepted Answer

In a monopoly, the price is greater than marginal revenue for everything sold after the first unit because the monopolist must lower the price on all units sold to sell additional units, causing marginal revenue to be less than the price.

Assuming That All Consumers Pay the Same Price for a Good