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Suppose a monopolist faces the following demand curve. The graph plots quantity versus price in dollars. A diagonal line marked D starts from the top
Suppose a monopolist faces the following demand curve. The graph plots quantity versus price in dollars. A diagonal line marked D starts from the top left of the first quadrant and end at the bottom right.The graph plots quantity versus price in dollars. A diagonal line marked D starts from the top left of the first quadrant at (0, 70) and comes diagonally down and to the right and ends at the bottom right of the first quadrant at (70, 0) passing through the following coordinates: (10, 60), (30, 40) and (50, 20). The monopolist maximizes its profits by Multiple Choice charging $70 for each unit. producing 35 units, since this is where total revenue is maximized. producing the level of output at which marginal revenue minus marginal cost is greatest. producing the level of output at which marginal revenue equals marginal cost
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