Fage annd co 830 MIC 24 ATC 20.80 20 18 UA 62 80 10 Figure 15-2 shows the cost and demand curves for a monopolist 4) Refer to Figure 15-2. Assume the firm maximizes its profits. What is the amount of consumer surplus? A) $21 B) S124 C) $186 D) S332 5) Refer to Figure 15-2. What is the amount of consumer surplus if instead of monopoly the industry was organized as a perfectly competitive industry? A) $21 B) S124 C) $186 D) $332 6) Refer to Figure 15-2. If this industry were organized as a perfectly competitive industry, the market output and market price would be A) output = 62; price-S24. B) output 83: price S22. C) output = 62; price-518 D) output 104: price $20.s0 7) Refer to Figure 15-2. If the firm maximizes its profits, the deadweight loss to society due to this monopoly is equal to the area A) ABF B) ABEG. C) ACE. D) EFG
Fage annd co 830 MIC 24 ATC 20.80 20 18 UA 62 80 10 Figure 15-2 shows the cost and demand curves for a monopolist 4) Refer to Figure 15-2. Assume the firm maximizes its profits. What is the amount of consumer surplus? A) $21 B) S124 C) $186 D) S332 5) Refer to Figure 15-2. What is the amount of consumer surplus if instead of monopoly the industry was organized as a perfectly competitive industry? A) $21 B) S124 C) $186 D) $332 6) Refer to Figure 15-2. If this industry were organized as a perfectly competitive industry, the market output and market price would be A) output = 62; price-S24. B) output 83: price S22. C) output = 62; price-518 D) output 104: price $20.s0 7) Refer to Figure 15-2. If the firm maximizes its profits, the deadweight loss to society due to this monopoly is equal to the area A) ABF B) ABEG. C) ACE. D) EFG
Managerial Economics: Applications, Strategies and Tactics (MindTap Course List)
14th Edition
ISBN:9781305506381
Author:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris
Publisher:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris
Chapter16: Government Regulation
Section: Chapter Questions
Problem 10E
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How would you figure out number 6
Transcribed Image Text:Fage
annd co
830
MIC
24
ATC
20.80
20
18
UA
62
80 10
Figure 15-2 shows the cost and demand curves for a monopolist
4) Refer to Figure 15-2. Assume the firm maximizes its profits. What is the amount of consumer
surplus?
A) $21
B) S124
C) $186
D) S332
5) Refer to Figure 15-2. What is the amount of consumer surplus if instead of monopoly the
industry was organized as a perfectly competitive industry?
A) $21
B) S124
C) $186
D) $332
6) Refer to Figure 15-2. If this industry were organized as a perfectly competitive industry, the
market output and market price would be
A) output = 62; price-S24.
B) output 83: price S22.
C) output = 62; price-518
D) output 104: price $20.s0
7) Refer to Figure 15-2. If the firm maximizes its profits, the deadweight loss to society due to
this monopoly is equal to the area
A) ABF
B) ABEG.
C) ACE.
D) EFG
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