The figure given below shows the cost and revenue curves of a monopolist.Figure 11.9
D: Average revenue
MR: Marginal revenue
ATC: Average total cost
MC: Marginal cost
-Monopolization is a process by which the government restricts the growth of monopoly firms.

Question

The figure given below shows the cost and revenue curves of a monopolist.Figure 11.9
  D: Average revenue
MR: Marginal revenue
ATC: Average total cost
MC: Marginal cost
-Monopolization is a process by which the government restricts the growth of monopoly firms.

Quizplus · Accepted Answer

The given statement is incorrect. Monopolization is not a process by which the government restricts the growth of monopoly firms, rather it is the process through which a single firm or entity dominates a particular industry or market. The government may use antitrust laws to prevent or break up monopolies.

The Figure Given Below Shows the Cost and Revenue Curves