A perfect-price-discriminating monopoly maximizes social welfare as measured by the sum of producer surplus plus consumer surplus
Indicate whether the statement is true or false
True . Unlike the competitive market, however, social welfare is all producer surplus. There is no consumer surplus. Thus while a perfect-price-discriminating monopoly is efficient, many are troubled by it based upon distributional issues.
You might also like to view...
Refer to the figure below. In response to gradually falling inflation, this economy will eventually move from its short-run equilibrium to its long-run equilibrium. Graphically, this would be seen as 
A. long-run aggregate supply shifting leftward B. Short-run aggregate supply shifting upward C. Short-run aggregate supply shifting downward D. Aggregate demand shifting leftward
With a price floor:
A. producer surplus will fall if profits fall. B. producer surplus will fall if profits rise. C. producer surplus will increases if profits fall. D. producer surplus always increases.
Which statement is true?
A. Externalities and public goods are basic classes of market failure. B. Externalities, but not public goods, is a basic class of market failure. C. Public goods, but not externalities, is a basic class of market failure. D. Neither public goods nor externalities are basic classes of market failure.
one of the four main categories of spending identified by John Maynard Keynes is government purchases
a. true b. false