Deadweight loss is
A) the amount of taxes that consumers and monopolists pay.
B) the loss of output when a perfectly competitive firm becomes a monopolist.
C) a loss of benefit to consumers in a monopoly that no one else in society can obtain.
D) the price that consumers pay for a product in excess of the average cost of producing it.
C
You might also like to view...
Your real wealth is measured as the
A) amount of assets you have in dollar terms. B) amount of money you have. C) amount of goods and services your wealth will buy. D) amount of goods you have divided by the price level.
The price of a gallon of milk falls. Which of the following is a possible cause?
A) a decrease in the price of oatmeal, a complement to milk B) a discovery that milk cause diabetes C) Milk is a normal good and people's incomes rise. D) a drought that reduces supplies of feed grains fed to cows that produce milk