Which of the following represents in-kind income?

Refer to Figure 4-18. As a result of the tax, is there a loss in producer surplus?

A) No, because the consumer pays the tax. B) Yes, because producers are not selling as many units now. C) No, because the market reaches a new equilibrium D) No, because producers are able to raise the price to cover their tax burden.

Assume a hypothetical case where an industry begins as perfectly competitive and then becomes a monopoly. Which of the following statements comparing the conditions in the industry under both market structures is true?

A) A monopoly will produce less and charge a lower price than would a perfectly competitive industry producing the same good. B) A monopoly will produce more and charge a higher price than would a perfectly competitive industry producing the same good. C) A monopoly will produce more and advertise more than would a perfectly competitive industry producing the same good. D) A monopoly will produce less and charge a higher price than would a perfectly competitive industry producing the same good.