One Reason Why a Monopolist Might Be Able to Provide

Multiple Choice

One reason why a monopolist might be able to provide greater output at lower costs than other market structures is that some monopolists

A) earn exceptional profit which allows them to lower price and costs
B) produce high volume output which allows them to capture economies of scale so that their ATCs are lower
C) have high market share which allows them to raise price and lower cost at the same time
D) exploit their labor force by offering low wage rates so that costs are lower
E) do not advertise, thereby reducing costs