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Use the Table Below to Answer the Following Question

Question 22

Multiple Choice

Use the table below to answer the following question.
Table 13.2.1
Use the table below to answer the following question. Table 13.2.1    -Refer to Table 13.2.1. Minnie's Mineral Springs, a single-price monopoly, faces the market demand schedule given in the table. Minnie will not produce a quantity at which the market demand for water is inelastic because when demand is inelastic she can ________ the quantity produced, which ________. A) increase; increases total revenue, decreases total cost, and increases economic profit B) increase; increases total revenue and increases total cost, but the increase in total cost is less than the increase in total revenue C) decrease; increases total revenue, decreases total cost, and increases economic profit D) decrease; decreases total revenue and decreases total cost, but the decrease in total cost is less than the decrease in total revenue E) decrease; increases total revenue, does not change total cost, and increases economic profit
-Refer to Table 13.2.1. Minnie's Mineral Springs, a single-price monopoly, faces the market demand schedule given in the table. Minnie will not produce a quantity at which the market demand for water is inelastic because when demand is inelastic she can ________ the quantity produced, which ________.


A) increase; increases total revenue, decreases total cost, and increases economic profit
B) increase; increases total revenue and increases total cost, but the increase in total cost is less than the increase in total revenue
C) decrease; increases total revenue, decreases total cost, and increases economic profit
D) decrease; decreases total revenue and decreases total cost, but the decrease in total cost is less than the decrease in total revenue
E) decrease; increases total revenue, does not change total cost, and increases economic profit

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