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Answer to Question #84108 in Microeconomics for Owusu Gyebi
Question #84108
Why monopolist Marginal revenue is less than the price he has charged for his goods
Expert's answer
Monopoly results in an effect in price. Sellers are required to reduce the price of commodities to increase their sales. Thus, marginal revenue on additional units sold is lower than the actual price due to the less revenue of the previous units.
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