Asked by Vanessa Green on Jun 11, 2024
Verified
The vertical distance between the horizontal axis and any point on a nondiscriminating monopolist's demand curve measures
A) the quantity demanded.
B) product price and marginal revenue.
C) total revenue.
D) product price and average revenue.
Nondiscriminating Monopolist's Demand Curve
The demand curve faced by a monopolist who charges the same price to all customers, reflecting the total market demand for its product.
Average Revenue
Average revenue is the amount of turnover a company generates per unit of product sold, calculated by dividing total revenue by the number of units sold.
- Acquire knowledge on how demand curves and revenue are interconnected in different market structures.
Verified Answer
CO
Cesilia OrtizJun 17, 2024
Final Answer :
D
Explanation :
The vertical distance between the horizontal axis and any point on a nondiscriminating monopolist's demand curve measures the product price and average revenue, as both are determined by the price at which the product is sold at different quantities.
Learning Objectives
- Acquire knowledge on how demand curves and revenue are interconnected in different market structures.