Under What Conditions Can a Monopolist Have Potentially Lower Costs

Multiple Choice

Under what conditions can a monopolist have potentially lower costs and possibly charge a lower price than would exist if the market were competitive?

A) when the monopolist operates on the inelastic portion of the demand curve
B) when the monopolist is a profit maximizer rather than a revenue maximizer
C) when substantial diseconomies of scale are present
D) when substantial economies of scale are present