In order to maximize profit, a monopolist should produce at the output level where __________ is equal to marginal cost.

In a monopoly, the goal is to make the most profit possible. To achieve this, the monopolist should produce at the output level where marginal revenue equals marginal cost. Marginal revenue is the extra money made from selling one more unit of a product, while marginal cost is the extra cost of producing that unit. When these two values are equal, it means that producing more would not increase profit, and producing less would mean missing out on potential earnings. For example, if a monopolist sells toys and finds that making one more toy costs $5 but brings in $5 in revenue, they should stop producing more because they aren't gaining any extra profit.