A Profit-Maximizing Monopolist Will Never Operate in the Portion of the Demand

question 140

Multiple Choice

A profit-maximizing monopolist will never operate in the portion of the demand curve with price elasticity equal to

• A)-3.
• B)-1.
• C)-1/3.
• D)None of the above-the price elasticity does not matter.

---

Definitions:

Senior Executive

A high-ranking position within an organization responsible for making major decisions, typically part of the company's top management.

Two-factor Theory

A psychological theory suggesting that there are separate sets of factors that cause job satisfaction and job dissatisfaction; introduced by Frederick Herzberg.

Method Bound

Referencing the limitation of a problem-solving or operational process to a specific methodology or approach.

Expectancy Theory

A motivational theory suggesting that individuals are motivated to act in certain ways based on the expected outcomes and the attractiveness of those outcomes.