Figure 9.10 -Refer to Figure 9.10.The area that represents consumer surplus under a monopoly is A)the triangle P₀P₁F B)the triangle P₀P₂E C)the trapezium P₁P₂EF D)the rectangle P₁P₃HF

Question

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Consumer surplus under a monopoly is represented by the triangle P₀P₁F. This is because the monopolist charges a higher price than the competitive price, resulting in a smaller quantity demanded and a reduction in consumer surplus. The area between the demand curve and the monopolist's price line, up to the point of equilibrium, represents the loss in consumer surplus due to monopoly power.

Figure 9.10 -Refer to Figure 9.10.The Area That Represents Consumer Surplus Under