Marginal Revenue for a Monopolist Is Computed as

question 371

Multiple Choice

Marginal revenue for a monopolist is computed as

• A)average revenue divided by quantity sold.
• B)average revenue times quantity divided by price.
• C)total revenue divided by quantity sold.
• D)change in total revenue per one unit increase in quantity sold.

---

Definitions:

Oligopoly

A market structure in which a few large firms dominate the industry, influencing the price and production of goods.

Industry Market Structure

The organizational characteristics of a market, defined by the level of competition, number of firms, and the nature of product differentiation.

Market Price

The actual price at which any commodity is traded in the market, determined by supply and demand.

Price Elastic

A term possibly intending to describe price elasticity, which measures how much the quantity demanded of a good responds to a change in its price.