Because monopoly firms are price setters,they:
A)can sell more only by lowering the price.
B)sell more at higher prices than at lower prices.
C)take the market-determined price as given and sell all they can at that price.
D)charge the highest possible price.

Question

Quizplus · Accepted Answer

Monopoly firms have the power to set prices due to the lack of competition. However, to increase sales, they must lower the price because the demand curve they face is downward sloping, indicating that lower prices increase the quantity demanded.

Because Monopoly Firms Are Price Setters,they