1. 

   Rupel Member

   Hey, can someone please explain why a monopolist will break even where Average revenue equals Average cost. Kindly reply. Thanks.

    

   Rupel, Feb 3, 2017

   #1
2. 

   Anna Walklate ActEd Tutor Staff Member

   Hi,
   
   This isn't just true for a monopolist - this is true for any firm.
   
   Profit = TR - TC
   
   So a firm will make zero profits when TR = TC, ie where AR = AC.

    

   Anna Walklate, Feb 3, 2017

   #2
3. 

   Rupel Member

   Thank you very much for your reply Madam.

    

   Rupel, Feb 7, 2017

   #3

Your name or email address:

Do you already have an account?

• No, create an account now.
• Yes, my password is:
• Forgot your password?

Stay logged in