When a Monopolist Faces a U-Shaped Average Cost Curve in the Short

Multiple Choice

When a monopolist faces a U-shaped average cost curve in the short run,we know that as more and more output is produced,the

A) law of diminishing marginal returns eventually overrules the decrease in average fixed cost.
B) decrease in average fixed cost eventually overrules the law of diminishing marginal returns.
C) decrease in average fixed cost always overrules the law of diminishing marginal returns.
D) law of diminishing marginal returns always overrules the decrease in average fixed cost.
E) law of diminishing marginal returns coincides with the decrease in average fixed cost.