Refer to the accompanying figure to answer the following questions.

-The consumer surplus associated with this profit-maximizing monopoly is represented by areas
A) A + B
B) B + D + G + E + H
C) F + G + H + I
D) A + B+ C + D + E
E) E + H

Question

Refer to the accompanying figure to answer the following questions.
 
-The consumer surplus associated with this profit-maximizing monopoly is represented by areas
A) A + B 
B) B + D + G + E + H 
C) F + G + H + I 
D) A + B+ C + D + E 
E) E + H

Quizplus · Accepted Answer

The consumer surplus associated with this profit-maximizing monopoly is represented by area A, which is the triangle formed by the demand curve, the price charged by the monopoly, and the y-axis. It represents the amount that consumers would have been willing to pay for the product but did not have to because the price was lower than their maximum willingness to pay. None of the other options include the correct area for consumer surplus.

Refer to the Accompanying Figure to Answer the Following Questions