Question

Select all that apply. Jerry's Phone Service is a monopoly. Select the items that describe the price and quantity chosen by Jerry. will result in efficient use of resources will result in equilibrium price will maximize profits will cause shortage of goods

Answer 1

efficient use of recources and will maximize profits 

Answer 2

Monopoly will cause shortage of goods.

Step-by-step explanation:

A monopoly firm produces the level of output where the marginal cost is equal to the marginal revenue. The price is higher than the marginal cost.

This level of output is smaller than a competitive firm where the output is produced where price equals marginal cost.

This creates a shortage of goods in the market. The resources are not efficiently utilized.