If a Monopolist Is Producing a Rate of Output at Which

Multiple Choice

If a monopolist is producing a rate of output at which market demand is inelastic,

A) it may or may not be maximizing its short-run profit
B) reducing output would reduce both total revenue and total cost
C) reducing output would increase both total revenue and total cost
D) reducing output would increase total revenue and reduce total cost
E) increasing output will increase its short-run economic profit