The deadweight loss from monopoly exists because:
A) there are no net gains to society at the output level produced by a monopolist.
B) resource owners hired by the monopolist gain at the expense of consumers.
C) the monopolist produces at an output level at which no one can be made better off without making someone worse off.
D) the marginal benefit of the monopolist's product to society exceeds the monopolist's marginal cost.

Question

Quizplus · Accepted Answer

The deadweight loss from monopoly arises because the monopolist restricts output to maximize profits, leading to a situation where the marginal benefit to society exceeds the marginal cost, resulting in lost potential gains from trade.

The Deadweight Loss from Monopoly Exists Because