If Both Firms in a Duopoly Increase Their Production by One

Multiple Choice

If both firms in a duopoly increase their production by one unit beyond the monopoly output, each firm's profit ________ and the TOTAL profit of the duopoly ________.

A) decreases; decreases
B) decreases; does not change
C) increases; increases
D) does not change; does not change
E) does not change; increases