A1. Do you agree with these statements? Why or why not? If you think it improves your answer, draw a simple diagram. A firm in a perfectly competitive industry seeks the output that will yield the greatest per-unit profit. (1 mark) Monopolists are always assured of profitable production by simply charging the highest price any consumer will pay. (2 marks) If a monopoly firm finds a way of producing a good at lower cost, it will not lower its price. Because it is a monopolist, it will keep the price and the quantity the same and just increase its profit. (2 marks)