The pure monopolist who is nondiscriminating must decrease price on all units of a product sold in order to sell additional units. This explains why:

Related MCQs

• A nondiscriminating monopolist will find that marginal revenue:
• A monopolist produces 14,000 units of output and charges Rs.14 per unit. Its marginal revenue is Rs.8, its marginal cost is Rs.7 and rising, its average total cost is Rs.10, and its average variable cost is Rs.9. The monopolist should
• The imposition of a maximum price at the point where the monopolist’s SMC curve intersects the D curve causes the monopolist to
• The best, or optimum, level of output for the pure monopolist occurs at the point where
• At the best, or optimum, level of output for the pure monopolist,
• The best or optimum level of output for the pure monopolist
• For a monopolist, marginal revenue is always less than price because
• Third degree price discrimination occurs when the monopolist charges different prices for the same commodity in different
• In the short run, a monopolist will shut down if it is producing a level of output where marginal revenue is equal to short-run marginal cost and price is
• Third degree price discrimination occurs when the monopolist charges different prices for the same commodity in different