2. Given the following diagram, answer the questions. a) What is the price and quantity for monopoly? b) What is the price and quantity for perfect competition? c) Calculate the consumer surplus under perfect Price/Cont 30 competition. d) Calculate the consumer surplus under monopoly. e) Calculate the profit taken away as the profit but the firm. f) What is the deadweight loss due to rent seeking? 20 MCAC 10, MR 100 Quantity
2. Given the following diagram, answer the questions. a) What is the price and quantity for monopoly? b) What is the price and quantity for perfect competition? c) Calculate the consumer surplus under perfect Price/Cont 30 competition. d) Calculate the consumer surplus under monopoly. e) Calculate the profit taken away as the profit but the firm. f) What is the deadweight loss due to rent seeking? 20 MCAC 10, MR 100 Quantity
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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