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Which of the Following Is True of a Monopolist

Question 25

Multiple Choice

Which of the following is true of a monopolist?


A) A monopolist has to reduce price on all units when it wants to expand output.
B) As a monopolist expands output, the average total cost of production declines.
C) A monopolist charges each consumer the highest possible price.
D) When a firm has a monopoly, consumers have no choice other than to pay the price set by the monopolist.
E) A monopolist always sells as many units as demanded in the market at a competitive price.

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