Q15 (8 points) Firms in perfect competition determine the optimal quantity to produce by setting MR = MC. Monopolists have market power but also maximize
Q15 (8 points) Firms in perfect competition determine the optimal quantity to produce by setting MR = MC. Monopolists have market power but also maximize profit by determining the quantity to produce such that MR = MC. Why doesn't the monopolist take advantage of its market power by setting quantity such that MR > MC? Edit Preview
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