A monopoly that makes a loss will continue production providing total revenue covers variable costs.

Name: A monopoly that makes a loss will continue production providing total revenue covers variable costs.
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In the short run, a monopoly (or any firm) will continue to produce as long as total revenue covers variable costs, because it can at least contribute to fixed costs and minimize losses. If it cannot cover variable costs, it will shut down production since continuing would increase losses.

A Monopoly That Makes a Loss Will Continue Production Providing