A Monopolist Faces an Inverse Demand Curve and Has

question 64

Multiple Choice

A monopolist faces an inverse demand curve and has a constant marginal cost of 20.The monopolist's profit-maximizing output is

• A) 46.67
• B) 23.33
• C) 20
• D) 35

---

Definitions:

Salary Increase

An upward adjustment in an employee's pay rate, often awarded for performance, longevity, or changes in market conditions.

Price Elasticity

A measure of how much the quantity demanded of a good responds to a change in the price of that good, reflecting the good’s sensitivity to price changes.

Substitute

An alternative product or service that consumers can choose over another based on similarities in function, utility, or purpose.

Marketing Mix

A foundational marketing model consisting of the four Ps: Product, Price, Place, and Promotion, used to ensure the successful marketing of a product or service.