Figure 15-20
-Refer to Figure 15-20. The deadweight loss caused by a profit-maximizing monopoly amounts to
A)$225.
B)$450.
C)$900.
D)$1,350.

Question

Figure 15-20 
-Refer to Figure 15-20. The deadweight loss caused by a profit-maximizing monopoly amounts to
A)$225. 
B)$450. 
C)$900. 
D)$1,350.

Quizplus · Accepted Answer

The deadweight loss is the triangle below the demand curve and above the marginal cost curve. In this case, the triangle is a right triangle with a base of 15 and a height of 30, so the area is (1/2) * 15 * 30 = $225.

Figure 15-20 -Refer to Figure 15-20. the Deadweight Loss Caused by a Caused