The principal difference between economic profits for a monopolist and for a competitive firm is that
A) monopoly profits create major problems of equity whereas competitive profits do not.
B) competitive profits exist only in the short run whereas monopoly profits may exist in the long run as well.
C) monopoly profits represent a transfer out of consumer surplus whereas competitive profits do not.monopoly profits are considered a deadweight loss but competitive profits are not.
D) monopoly profits are considered a deadweight loss but competitive profits are not.
Correct Answer:
Verified
Q2: A natural monopoly
A)is a monopoly in the
Q3: From the point of view of economic
Q4: All monopolies exist because of
A)firms' desire to
Q5: Which of the following is not a
Q6: A profit-maximizing monopoly will produce that output
Q7: The supply curve for a monopoly is
Q8: Which might be a possible reason a
Q9: A monopoly's economic profits are represented by
A)[price
Q10: Consider the same monopoly situation as in
Q11: Consider the same monopoly situation as in
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