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When a monopoly is producing profit-maximizing quantity, what is the relationship between marginal cost and price? Select an answer and submit. For keyboard navigation, use the up/down arrow keys to select an answer. a Marginal cost is greater than the price b Marginal cost is equal to the price c Marginal cost is less than the price.Suppose that a monopoly firm would make a greater profit if it lowered its price. What will happen to the firm's total revenue if the price is lowered by 25%? Select an answer and submit. For keyboard navigation, use the up/down arrow keys to select an answer. a Total revenue will rise. b Total revenue will fall. C Total revenue will stay the same. d Change in total revenue cannot be determined from given information.Where would a profit-maximizing monopoly choose to operate? Select an answer and submit. For keyboard navigation, use the up/down arrow keys to select an answer. a It will operate at where marginal cost equals marginal revenue. b It will operate at where marginal cost equals demand. c It will operate at where average cost equals marginal revenue.Economies of scale in an industry will likely result in which of the following? Select an answer and submit. For keyboard navigation, use the up/down arrow keys to select an answer. a many small competing firms with prices lower than a monopoly would charge b a few large firms or a monopoly with prices lower than the perfectly competitive price C many small competing firms with prices higher than a monopoly would charge d a few large firms or a monopoly with prices lower or higher than the perfectly competitive price.Suppose that a monopolist is producing a level of output where demand is inelastic. What should it do if it wants to maximize profits? Select an answer and submit. For keyboard navigation, use the up/down arrow keys to select an answer. a one cannot tell because we do not know the levels of marginal cost and marginal revenue at that level of output. b lower price. C raise price. d not change price, as it must be maximizing profits if it currently producing where demand is inelastic