Monopolists will maximize profit by producing at an output level where which of the following conditions exists（）
A: Price = marginal revenue = marginal cost.
B: Price = demand = marginal revenue = marginal cost.
C: Marginal revenue = marginal cost ＜ price.
A: Price = marginal revenue = marginal cost.
B: Price = demand = marginal revenue = marginal cost.
C: Marginal revenue = marginal cost ＜ price.
举一反三
- To maximize profit, the monopolist produces on the ________ portion of the demand curve where ________. A: elastic; price equals marginal cost B: elastic; marginal revenue equals marginal cost C: inelastic; price equals marginal revenue D: inelastic; marginal revenue equals marginal cost
- A firm maximizes profit by operating at the level of output where A: average revenue equals average cost. B: average revenue equals average variable cost. C: total costs are minimized. D: marginal revenue equals marginal cost. E: marginal revenue exceeds marginal cost by the greatest amount.
- For any given price, a firm in a competitive market will maximize<br/>profit by selecting the level of output at which price intersects the<br/>( ) A: average total cost curve. B: average variable cost curve. C: marginal cost curve. D: marginal revenue curve.
- A perfectly competitive firm maximizes its profit by producing the output at which its marginal cost equals its ____ A: marginal revenue B: average total cost C: average variable cost. D: average fixed cost.
- A monopolist maximizes profits by A: producing an output level where marginal revenue equals marginal cost. B: charging a price that is greater than marginal revenue. C: earning a profit of (P - MC) x Q. D: Both a and b are correct.