if a monopolist raises its price,
Consider the relationship between monopoly pricing and price elasticity of demand. If demand is inelastic and a monopolist raises its price, total revenue wouldincrease and total cost wouldincrease , causing profit todecrease . Therefore, a monopolist willsometimes produce a quantity at which the demand curve is inelastic. Use the purple segment (diamond symbols) to indicate the portion of the demand curve that is inelastic.