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15. SHORT-RUN PROFIT MAXIMIZATION Answer the following questions on the basis of the monopolist's situation is illustrated in the following graph.
a. At what output rate and price does the monopolist operate?
b. In the equilibrium, approximately what is the firm's total cost and total revenue?
c. What is the firm's economic profit or loss in equilibrium?

15. SHORT-RUN PROFIT MAXIMIZATION Answer the following questions on the basis of the monopolist's situation is illustrated in the following graph. a. At what ou class=

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Lanuel

Based on the short-run profit maximization graph, we can infer and logically deduce the following true statements:

  1. The monopolist operate at an output rate of 100 units and a price of $5.
  2. In the equilibrium, the firm's approximate total cost and total revenue are $500 and $300 respectively.
  3. This business firm experiences an economic loss in equilibrium.

What is a monopoly?

A monopoly can be defined as a type of market structure which is typically characterized by a single supplier (seller) or service provider, who sells and provide a unique product or service in the market, especially through dominance.

This ultimately implies that, monopoly refers to a market structure wherein the single supplier (seller) or service provider has no competitor because he or she is solely responsible for the sale of a unique product or service, without any close substitute.

In the short-run, a monopolist would maximize profit or minimize losses by producing the quantity of goods where marginal revenue is equal to marginal cost (MR = MC).

By critically observing the short-run profit maximization graph, we can infer and logically deduce the following true statements:

  • The monopolist operate at an output rate of 100 units and a price of $5.
  • In the equilibrium, the firm's approximate total cost and total revenue are $500 and $300 respectively.
  • This business firm experiences an economic loss in equilibrium.

Read more on short-run profit maximization here: https://brainly.com/question/28044500

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