A justification for patents is that without patents consumer surplus would be
A) larger than with the patent.
B) zero since the product would not be invented.
C) only slightly smaller than with the patent.
D) zero since the monopoly would be a revenue maximizer.
B
You might also like to view...
A consumer is at an optimum when the price of one good she has been consuming decreases. As a result
A) the value of the marginal utility of the last unit consumed has increased. B) the value of the marginal utility of the last unit consumed has decreased. C) the price of the other good must decrease too. D) the marginal utility of the last dollar spent on this good is now greater than the marginal utility of the last dollar spent on other goods.
Refer to Scenario 17.1. An employer who only wants to hire individuals who find learning less costly can do so by choosing y* to be anywhere between
A) 7 and 14. B) 8 and 13 1/3. C) 10 and 16. D) 13 1/3 and 20. E) 14 and 20.