Deadweight loss because of a monopoly can be attributed to the fact that monopolies produce at a quantity where the price of the good exceeds the marginal cost of producing the last unit.

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Monopolies have the ability to set their price higher than their marginal cost, resulting in a deadweight loss as consumers who are willing to pay a lower price for the good do not buy it, and the total surplus (consumer surplus + producer surplus) decreases.

Deadweight Loss Because of a Monopoly Can Be Attributed to the Fact