A single-price monopoly A) must lower the price for all customers if it wants to increase its sales. B) must practice price discrimination. C) can lower its price for only a few select consumers if it wants to increase its sales. D) will set its price equal to a consumer's willingness to pay. E) is able to raise its price as high as it wants and consumers must still buy from it because it is a monopoly.

A single-price monopoly A) must lower the price for all customers if it wants to increase its sales. B) must practice price discrimination. C) can lower its price for only a few select consumers if it wants to increase its sales. D) will set its price equal to a consumer's willingness to pay. E) is able to raise its price as high as it wants and consumers must still buy from it because it is a monopoly.

Microeconomics

13th Edition

ISBN:9781337617406

Author:Roger A. Arnold

Publisher:Roger A. Arnold

Chapter10: Monopoly

Section: Chapter Questions

Problem 3QP

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Question

A single-price monopoly
A)
must lower the price for all customers if it wants to increase its sales.
B) must practice price discrimination.
C) can lower its price for only a few select consumers if it wants to increase its
sales.
D) will set its price equal to a consumer's willingness to pay.
E)
is able to raise its price as high as it wants and consumers must still buy from
it because it is a monopoly.

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