A perfectly competitive firm is expected to make a $0 economic profit in the long-run. What type(s) of profit would you expect a monopolist to earn in the long-run? Why the difference?

Q: A monopolist can sell the same product to different consumers at different prices.

A: Monopoly generally occurs when there is only one supplier of a particular commodity in the market.…

Q: Explain why a monopolist produces a lower level of output than a competitive industry.

A: Monopoly refers to the market structure which consists of only a single seller of the product who…

Q: Suppose, in the question above, this drug has a patent, which will provide a significant barrier to…

A: Monopoly is a market condition where there is a single seller. It sells a unique commodity in the…

Q: Which of the following statements applies to a monopolist but not to a perfectly competitive firm at…

A: Profit maximization occurs at the point where the marginal revenue and marginal cost are equal.

Q: monopolist, as opposed to a company in a perfectly competitive market:

A: Perfect competition market ;- where large numbers of sellers and buyers exist and exchange…

Q: If the price is less than actual total cost, does the monopolist make a profit, lose or break-even?

A: Monopoly is the form of market structure in which a single firm sells a commodity for which there…

Q: If the price is greater than actual total cost, does the monopolist make a profit, loss, or…

A: Answer to the question is as follows :

Q: Currently, a monopolist’s profit-maximizing output is 400 units per week and it sells its output at…

A: Economics is a branch of social science that describes and analyzes the behaviors and decisions…

Q: How will a monopolist respond to a rise in fixed costs?

A: A monopoly is when a market is experiencing a situation where a single seller offers a specific…

Q: A major difference between a monopolist charging only one price and a perfectly competitive firm is…

A: When talking about forms of market z monopoly market is completely different from perfectly…

Q: The marginal revenue curve for a monopolist O will always have one-half the slope of the demand…

A: Monopolist is the single firm in the market. The industry and firm demand curves are same in the…

Q: Positive Economic Profits are A long-run operating condition necessary for a monopolist Profits…

A: Positive economic profits would result in revenue earned on the units sold over its costs. The…

Q: Select one or two examples of an industry characterized by monopoly and discuss how each example…

A: A monopoly is a market structure characterized by the existence of a single firm as the producing…

Q: A perfectly competitive firm is expected to make a $0 economic profit in the long-run. What type(s)…

A: Perfect competition happens when all companies sell the same things, market share has no influence…

Q: How does a monopolist decide its production amount and pricing strategy? Explain. Use of appropriate…

A: Monopoly is a market condition where there is a single seller. It sells a unique commodity in the…

Q: Describe how a monopolist gains from price discrimination.

A: Monopoly: - monopoly market structure is the structure in which there is only one seller of any good…

Q: Why is marginal revenue below average revenue for a monopolist?

A: In monopoly markets there is a price effect and output effect..

Q: Monopoly firms are price __________

A: Out of the four broad types of market structures, one of the Market structure is a monopoly.  A…

Q: Draw the demand, marginal-revenue, average total-cost, and marginal-cost curves for a monopolist.…

A: A monopoly is an imperfect market structure in which a producer or a firm is the sole supplier of…

Q: The following table gives total revenue and cost for a monopolist: Quantity Price Total Revenue…

A: Perfect competition is the market structure that is characterized by a large number of buyers and…

Q: Use the data on the chart for a monopolist. At its profit-maximizing output, this firm's price will…

A: We know that the monopolist profit maximization output condition is marginal revenue is equal to…

Q: Economic theory predicts a monopolist will discontinue production in the short run if: Multiple…

A: a firm in short run choose to discontinue the production only if it is not able to cover its…

Q: Which of the following is true of a monopolist firm, but NOT of a monopolistically competitive firm?…

A: Monopolistic competition describes an industry in which a large number of enterprises compete for…

Q: Which of the following is a common practice of single-price monopolists? * two-part tariffs advance…

A: In case of a Monopoly, there is a single seller who controls the entire market. The firm is a price…

Q: A perfectly competitive firm is expected to make a $0 economic profit in the long-run. What type(s)…

A: Perfectly competitive firm is a price taker and monopolist is a price maker.

Q: When a perfectly competitive industry is taken over by a monopoly, some consumer surplus is…

A: The difference between perfectly competitive firm and the monopoly firm is the difference in their…

Q: A monopolist has demand, marginal revenue, total cost, and marginal cost curves given by: Q demanded…

A: profit maximization is the short run or long run process by which a firm may determine the price,…

Q: Now suppose that the monopolist chooses q to maximise its profit. The number of units that the…

A: Given information: Monopoly faces following demand  q = 3000 - 120p and Monopoly has following cost…

Q: When a single-price monopolist maximizes profits, price is greater than marginal cost. In other…

A: Monopoly expresses a market where a sole seller is privileged to satisfy the needs of the entire…

Q: The marginal revenue for a perfectly competitive firm is equal to the market price. Why is this not…

A: In a perfectly competitive market, there are a large number of buyers and a large number of sellers,…

Q: What advantages do monopolies have for the economy?   What disadvantages do monopolies have for…

A: Perfect competition is a type of market structure in which there are large number of buyers and…

Q: It is possible for a monopolist's to earn economic profits even in the long run due to:    a. its…

A: Monopoly is a market arrangement in which there is only one vendor of a good with complete market…

Q: How can a monopolist identify the profit-maximizing level of output if it knows its marginal revenue…

A: Monopoly refers to the market structure where there is only one firm in the industry. There is a…

Q: What is the usual shape of a marginal revenue curve for a monopolist? Why? How can a monopolist…

A: A market is a place where the buyers and the sellers interact with each other and the exchange of…