Refer to the figure above. The quota generates deadweight costs of

If an industry could be organized either perfectly competitively or as monopoly, a monopoly would

A) produce less output. B) produce where P > MC. C) charge higher prices. D) All of the above

Use the above table. Assuming constant opportunity costs, if countries Alpha and Beta specialize based on comparative advantage, then

A) Alpha should specialize in knives and Beta should specialize in forks. B) Alpha should specialize in forks and Beta should specialize in knives. C) Alpha should specialize in producing both items. D) Beta should produce both items.