Use the following table to answer the question : Table 15-2: shows the marginal revenue curve [MR],the demand curve,and the marginal cost curve [MC] for a monopolist with constant costs.

-Based on Figure 15-2,one can conclude that the deadweight loss due to the monopoly is _____.
A)$150
B)$300
C)$450
D)$600

Question

Use the following table to answer the question : Table 15-2: shows the marginal revenue curve [MR],the demand curve,and the marginal cost curve [MC] for a monopolist with constant costs.

-Based on Figure 15-2,one can conclude that the deadweight loss due to the monopoly is _____.
A)$150 
B)$300 
C)$450 
D)$600

Quizplus · Accepted Answer

The deadweight loss is the triangle formed by the difference between the price and marginal cost multiplied by the quantity. In this case, the deadweight loss is $150.

Use the Following Table to Answer the Question : Table