[Solved] -Refer to the Graph Above

All,except one,of the following statements regarding the profit-maximizing output of the monopolist are correct.Which is false? A)At that output,the marginal cost will be equal to the price. B)At that output,marginal profit is zero. C)At that output,the difference between the total revenue and the total cost will be at a maximum. D)At that output,marginal cost will equal marginal revenue. E)At that output,average revenue will exceed marginal revenue.

Suppose that a perfectly competitive industry is monopolized.If the costs of production remain unchanged,which of the following statements is correct? A)Both the price and the output of the perfectly competitive industry will be higher than those of the monopoly industry. B)Both the price and the output of the perfectly competitive industry will be lower than those of the monopoly industry. C)The perfectly competitive price will be higher,and the output will be lower. D)The perfectly competitive price will be lower,and the output will be higher. E)Output and price will remain unchanged.

The market imperfection brought about by monopoly is referred to as: A)price discrimination. B)reduction in output through government regulation. C)deadweight loss. D)monopoly's gain.

If a monopolist set the quantity produced at MR = MC and charge a price according to the market demand curve,then: A)a deadweight loss is created as a result of a lower consumer surplus. B)a deadweight loss is created as a result of a higher consumer surplus. C)a deadweight loss is created as a result of a loss to the monopolist. D)a deadweight loss is created as a result of higher output produced and higher price charged by the monopolist.

The deadweight loss arising from the monopolization of a perfectly competitive industry is: A)the transfer of consumer's surplus to the monopolist in the form of economic profit. B)the reduction in quantity supplied and the increase in product price. C)the gain in producer's surplus minus the loss in consumer's surplus. D)the net reduction in both consumer's and producer's surplus which is not captured by anyone.

-Refer to the graph above.Area C represents: A)the loss of surplus by consumers resulting from a monopoly. B)the cost to society of increasing output from Qm to Qc. C)consumer surplus redistributed to the monopolist. D)the loss of surplus by producers resulting from a monopoly.

-Refer to the graph above.Area B represents: A)the loss of surplus by consumers resulting from a monopoly. B)the cost to society of increasing output from Qm to Qc. C)consumer surplus redistributed to the monopolist. D)the loss of surplus by producers resulting from a monopoly.

-If the monopoly firm maximizes profit,consumers will pay: A)$2.00 per unit and consumer surplus will be $45. B)$2.50 per unit and consumer surplus will be $18.75. C)$3.50 per unit and consumer surplus will be $11.25. D)$3.50 per unit and consumer surplus will be $22.5.

-Refer to the graph above.The loss of surplus to consumers resulting from monopoly is: A)$11.25. B)$20. C)$31.25 D)$42.5.

-Refer to the graph above.Producer surplus that is lost to society as a result of monopoly is: A)$2.5. B)$5. C)$15.625. D)$16.875.