Multiple Choice
-On the above graph, if the oligopolist's MC curve shifts from MC1 to MC2, the firm will charge:
A) a higher price and total revenue will increase.
B) the same price and sell more output; total revenue will increase.
C) the same price and sell the same amount of output; total revenue will remain the same.
D) a higher price and sell less output; it can't be determined whether total revenue will increase.
Correct Answer:
Verified
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