In contrast with perfect competition,a monopoly:

A) produces more at a lower price.
B) produces where MR > MC.
C) may have lower economic profits in the long run.
D) produces less at a higher price.

Question

In contrast with perfect competition,a monopoly:A) produces more at a lower price.B) produces where MR > MC.C) may have lower economic profits in the long run.D) produces less at a higher price.

Gable VanBeek · Accepted Answer

Final Answer : D, Explanation :  A monopoly has the ability to control the price and quantity of goods or services it produces, so it often produces less at a higher price compared to perfect competition. This is because the monopolist faces no competition and can charge a premium price to consumers who have no other options. Monopolies also have the ability to earn high economic profits in the long run due to their market power.

In contrast with perfect competition,a monopoly:

A) produces more at a lower price.
B) produces where MR > MC.
C) may have lower economic profits in the long run.
D) produces less at a higher price.

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