-If a marginal cost pricing rule is imposed on the firm in the figure above, the deadweight loss will be
A) zero.
B) $1,800.
C) $3,200.
D) $16,200.

Name: -If a marginal cost pricing rule is imposed on the firm in the figure above, the deadweight loss will be A) zero. B) $1,800. C) $3,200. D) $16,200.
Brand: Quizplus
Rating: 4.7 (29 reviews)

Question

-If a marginal cost pricing rule is imposed on the firm in the figure above, the deadweight loss will be
A) zero. 
B) $1,800. 
C) $3,200. 
D) $16,200.

Quizplus · Accepted Answer

A marginal cost pricing rule sets the price equal to the marginal cost, which leads to an efficient allocation of resources and eliminates deadweight loss.

-If a Marginal Cost Pricing Rule Is Imposed on the Firm