If a monopolist decides to charge a higher price for its product,it will yield a ________ revenue per unit sold and ________ number of units sold.
A) lower; higher
B) lower; lower
C) higher; lower
D) higher; higher

Question

Quizplus · Accepted Answer

When a monopolist charges a higher price for its product, the revenue per unit sold will increase due to the higher price, resulting in higher total revenue. However, the number of units sold will decrease as consumers will have less demand for the product at a higher price. Therefore, the monopolist will have higher revenue per unit sold but lower number of units sold.

If a Monopolist Decides to Charge a Higher Price for Its