If marginal cost is constant, what happens to a market if it alters from perfect competition to monopoly without any change in the position of the market demand curve or any variation in costs?
A) Consumer surplus increases, and the previously existing deadweight loss decreases.
B) Consumer surplus increases, and the previously existing deadweight loss increases.
C) Consumer surplus is eliminated, and an equal-sized deadweight loss is created.
D) Consumer surplus decreases in size, and a deadweight loss is created.
D
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The federal income tax in the United States is
A) regressive. B) proportional. C) progressive. D) a flat-rate tax.
Which of the following is not a reason why low-income countries might experience low economic growth?
A) The country has a good education system. B) The country has a low rate of saving and investment. C) The country has endured extended periods of war. D) The country fails to enforce a rule of law.
Firms may choose to discriminate in order to reduce information costs associated with screening applicants
a. True b. False Indicate whether the statement is true or false
Which of the following causes a leftward shift in the short-run aggregate supply curve?
a. An increase of goods prices while nominal incomes are unchanged. b. An increase of full-employment real GDP. c. An increase of personal consumption expenditures while the price level is unchanged. d. An increase in nominal incomes.