If a monopoly wants to sell a larger quantity, it must
A) maintain the current price.
B) implement new technology.
C) increase the barrier to entry that protects it.
D) set a lower price.
E) set a higher price.

Question

Quizplus · Accepted Answer

In order to sell a larger quantity, a monopoly must set a lower price. This can be a difficult decision for a monopoly since there is no competition to force them to lower their price. However, setting a lower price can encourage more consumers to purchase their product and potentially increase profits in the long run.

If a Monopoly Wants to Sell a Larger Quantity, It