For a monopolist, the price that is on the demand curve at the optimal quantity point is the

Question

Quizplus · Accepted Answer

The optimal quantity point for a monopolist is where marginal revenue equals marginal cost. At this point, the monopolist will be producing the quantity at which the revenue from selling an additional unit is exactly equal to the cost of producing that additional unit. The price that corresponds to this quantity on the demand curve is the optimal price. Therefore, the correct answer is B) optimal price.

For a Monopolist, the Price That Is on the Demand