To which of the following groups would a monopolist typically charge the lowest price?
A) individuals with a very elastic demand
B) individuals with a very inelastic demand
C) senior citizens
D) vacationers

Question

Quizplus · Accepted Answer

A monopolist charges lower prices to individuals with a very elastic demand because these consumers are more sensitive to price changes and are likely to reduce their quantity demanded significantly if prices are high.

To Which of the Following Groups Would a Monopolist Typically