At the equilibrium price, deadweight loss is:

a. minimized.
b. zero.
c. maximized.
d. equal to the equilibrium price multiplied by the quantity exchanged.

b

Economics

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The number of firms in a monopolistically competitive market means that

A) all firms will have substantial monopoly power since there are so few firms in the industry. B) each firm has a relatively small share of the total market since there are many firms in the industry. C) the firms will be likely to collude since there are only a few firms in the industry. D) firms will have a hard time earning non-negative profits since there are many firms in the industry.

Economics

According to the above figure, the profit-maximizing price for the monopolist is

A) A. B) B. C) C. D) D.

Economics