A profit-maximizing monopoly produces at the point at which marginal cost equals marginal revenue, while a profit-maximizing competitive firm produces at the point at which marginal cost equals price.

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This statement is true. Monopolies have market power and can influence the price of their product, so they will produce where their marginal revenue equals marginal cost to maximize profit. Competitive firms, on the other hand, are price takers and must accept the market price, so they will produce where their marginal cost equals the market price to maximize profit.

A Profit-Maximizing Monopoly Produces at the Point at Which Marginal