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14-05-2023
English

Answered

Price
Cost
Revenue
MR
MONOPOLY MARKET
C
1.4.1. Which curve represents the average revenue (AR) curve?
1.4.2. How many firms dominate this type of market?
Quantity
(1)
(1)
(2)
1.4.3. Why does the marginal revenue (MR) curve lie below the demand curve?
1.4.4. Why will the monopolist not be able to charge excessively high prices for his/her product?
(2)
1.4.5. Redraw the graph above into the ANSWER BOOK. Indicate economic profit on your graph
by inserting the average cost (AC) curve and marginal cost (MC) curve on the same set of
(4)
axes.

Answer :

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