The ability of a firm to charge a price greater than marginal cost is called
A)monopoly power.
B)price-making power.
C)cost-plus pricing.
D)market power.

Name: The ability of a firm to charge a price greater than marginal cost is called A)monopoly power. B)price-making power. C)cost-plus pricing. D)market power.
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Question

Quizplus · Accepted Answer

Market power refers to the ability of a firm to set prices above marginal cost, which is a characteristic of firms that are not in perfectly competitive markets.

The Ability of a Firm to Charge a Price Greater