In the above figure, if the natural monopoly is regulated with an average cost pricing rule and the firm does not inflate its costs, the deadweight loss to society is

In the figure above, when the price of a CD is $8.00, total producer surplus from all the CDs will be

A) zero. B) greater than at $10.00 per CD. C) $20 million. D) $10 million.

"Every point on a demand curve represents a consumer equilibrium in the indifference curve model." Explain why the previous statement is correct or not

What will be an ideal response?