In the long run, a pure monopolist will maximize profits by producing that output at which marginal cost is equal to

A) average total cost.
B) marginal revenue.
C) average variable cost.
D) average cost.

Question

In the long run, a pure monopolist will maximize profits by producing that output at which marginal cost is equal toA) average total cost.B) marginal revenue.C) average variable cost.D) average cost.

Aleseng Boitumelo · Accepted Answer

Final Answer : B, Explanation :  In the long run, a pure monopolist maximizes profits by producing at the output level where marginal cost (MC) is equal to marginal revenue (MR). This is the profit-maximizing condition for all firms, including monopolies.

In the long run, a pure monopolist will maximize profits by producing that output at which marginal cost is equal to

A) average total cost.
B) marginal revenue.
C) average variable cost.
D) average cost.

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