Final answer:
A monopolist will continue to produce at the output level where marginal revenue equals marginal cost if the demand curve is stable, and will set a price as indicated by the market demand curve to earn positive profits if this price is above the average cost.
Step-by-step explanation:
If a monopolist's demand curve for the good it produces is not changing over time, then under uniform pricing the monopolist will likely maintain its profit-maximizing level of output and pricing strategy. The monopolist's key decision is to determine the output level where marginal revenue (MR) equals marginal cost (MC), which is critical to maximizing profits. Once this level is identified, the monopolist will set the appropriate price as indicated by the market demand curve. If this price happens to be above the average cost, the monopolist will earn positive profits. This situation contrasts with a perfectly competitive firm, which faces a flat demand curve and sells its output at the prevailing market price without having the power to influence that price.