question archive Compared to an efficient perfectly competitive industry, a monopolist will: a
Compared to an efficient perfectly competitive industry, a monopolist will: a
Subject:MarketingPrice:2.88 Bought3
Compared to an efficient perfectly competitive industry, a monopolist will:
a. produce less output and charge a higher price.
b. produce more output at a higher price and higher profit.
c. produce less output at a higher total cost.
d. produce more output at a lower price.
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The correct answer is a) produce less output and charge a higher price
Compared to an efficiently perfectly competitive industry, a monopolist will produce less output and charge a higher price.
A monopolist is a single seller in the market, and thus has full control over the market. A monopolist can easily reduce its output and raise the prices in order to earn super-normal profits.
