Figure 15-4 -Refer to Figure 15-4. If the Monopoly Firm Is Currently

question 230

Multiple Choice

Figure 15-4
-Refer to Figure 15-4. If the monopoly firm is currently producing Q4 units of output, then a decrease in output will necessarily cause profit to

• A)remain unchanged.
• B)decrease.
• C)increase as long as the new level of output is at least Q2.
• D)None of the above is correct. The monopolist currently maximizing profits at Q4.