Answer to Question #320587 in Macroeconomics for Rose

Question

Which statement is incorrect?

A. The quantity that the monopolist produces for sales on the market is

substantially less than that supplied by a perfectly competitive

industry.

B. Monopolists make excess profits in the long run.

C. The price fixed by a monopolist is lower than the price of perfect

competition.

D. A monopoly could utilise economies of scale.

E. Under monopolistic competition, economic profit can be earned in the

short run.

Answer 1

C