Monopolists are criticized because they are inefficient. What is meant by this statement?
A) Monopolists could use their resources better elsewhere.
B) Monopolists don't innovate enough to control pollution.
C) Monopolists produce a large quantity of waste.
D) Monopolists usually don't produce at the minimum of the ATC.

Question

Quizplus · Accepted Answer

Monopolists usually don't produce at the minimum of the ATC, which means they are not producing at the most efficient level possible. This results in higher costs for producing goods and services, which can lead to higher prices for consumers.

Monopolists Are Criticized Because They Are Inefficient