If a Monopoly Is Operating Along the Portion of Its

question 101

Multiple Choice

If a monopoly is operating along the portion of its demand curve where marginal revenue is positive, its

• A) total revenue is zero.
• B) total revenue decreases when price decreases.
• C) total revenue increases when price decreases.
• D) total revenue remains the same when price decreases.

---

Definitions:

Lava Flow

Magma that erupts onto the surface and flows downhill from the vent; also the solidified body of rock formed by this magma.

Pyroclastic Flow

A fast-moving current of hot gas and volcanic materials that flows down the sides of a volcano during an explosive eruption.

Eruption Column

A column of gases, ash, and volcanic rock emitted into the atmosphere during a volcanic eruption, which can affect climate and aviation.

Pyroclastic Flow

A rapid stream of heated gas and volcanic substances flowing down a volcano's slopes amid an explosive eruption.