When a ski resort with some monopoly power is maximizing profit, price is greater than marginal cost. Thus, consumers are willing to pay more for additional lift tickets than the tickets cost to produce. So why does the ski resort not charge a lower price per lift ticket and increase output?© BrainMass Inc. brainmass.com October 10, 2019, 12:22 am ad1c9bdddf
The ski resort could charge a lower price and increase output. However, the goal of the monopoly is not to maximize output but to maximize its ...
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