Use the following to answer questions:
Figure: Water Works
-(Figure: Water Works) Look at the figure Water Works, which describes a small town's water works, a natural monopoly. If regulators allow the water works to charge the price that covers average total costs, consumer surplus will be:
A) $1,600.
B) $1,400.
C) $1,000.
D) $2,812.50.

Question

Use the following to answer questions:
Figure: Water Works 
-(Figure: Water Works) Look at the figure Water Works, which describes a small town's water works, a natural monopoly. If regulators allow the water works to charge the price that covers average total costs, consumer surplus will be:
A) $1,600. 
B) $1,400. 
C) $1,000. 
D) $2,812.50.

Quizplus · Accepted Answer

The Answer of Use the following to answer questions:
Figure: Water Works 
-(Figure: Water Works) Look at the figure Water Works, which describes a small town's water works, a natural monopoly. If regulators allow the water works to charge the price that covers average total costs, consumer surplus will be:
A) $1,600. 
B) $1,400. 
C) $1,000. 
D) $2,812.50.

Use the Following to Answer Questions