Exhibit 13-3 A monopolist
-In Exhibit 13-3, if this industry is regulated and the regulatory commission wants price to be set equal to marginal cost, the proper price and output combination to be set is:
A) price = $8; output = 25.
B) price = $8; output = 30.
C) price = $5; output = 40.
D) price = $4; output = 25.
E) price = $3; output = 50.

Question

Exhibit 13-3 A monopolist 
-In Exhibit 13-3, if this industry is regulated and the regulatory commission wants price to be set equal to marginal cost, the proper price and output combination to be set is:
A) price = $8; output = 25. 
B) price = $8; output = 30. 
C) price = $5; output = 40. 
D) price = $4; output = 25. 
E) price = $3; output = 50.

Quizplus · Accepted Answer

The Answer of Exhibit 13-3 A monopolist 
-In Exhibit 13-3, if this industry is regulated and the regulatory commission wants price to be set equal to marginal cost, the proper price and output combination to be set is:
A) price = $8; output = 25. 
B) price = $8; output = 30. 
C) price = $5; output = 40. 
D) price = $4; output = 25. 
E) price = $3; output = 50.

Exhibit 13-3 a Monopolist