A Monopolist Is Currently Maximizing Profits

question 118

Multiple Choice

A monopolist is currently maximizing profits. In addition, if P > ATC > MC, then the monopolist

• A) just breaks even.
• B) earns positive economic profits.
• C) is covering total variable costs but not total fixed costs.
• D) is covering total fixed costs but not total variable costs.

---

Definitions:

Workforce Entry

The act or process of starting to participate in the labor market by seeking, obtaining, and beginning a new job or career.

Higher Education

Education provided by universities and colleges, usually following the completion of secondary education, leading to degrees and other qualifications.

Gestational Surrogacy

Occurs when the sperm and the egg from the couple seeking surrogacy is fertilized through in vitro fertilization and implanted into the surrogate, making the child biologically related to both parents but not the surrogate.

Traditional Surrogacy

Occurs when the surrogate’s egg is fertilized by the father’s sperm, making the child biologically related to the father and the surrogate.