Question

In what way the government can induce a monopolist to expand his output?
a) By imposing a price ceiling that makes the monopolist lower his price
b) By imposing a price floor that makes the monopolist raise his price
c) A specific tax on the monopolists output
d) A heavy tax on the monopolist's profits​

Answer 1

Answer:

Option: B

Explanation:

b) By imposing a price floor that makes themonopolist raise his price