The figure below shows the cost and revenue curves faced by a monopolist. If this monopolist practices perfect price discrimination, the consumer surplus is:
Figure 9.10

A) equal to area a + b + c.
B) equal to area b + e.
C) equal to area b.
D) equal to zero.
E) equal to area e.

Question

The figure below shows the cost and revenue curves faced by a monopolist. If this monopolist practices perfect price discrimination, the consumer surplus is:​ ​
Figure 9.10
​
 
A) equal to area a + b + c. 
B) equal to area b + e. 
C) equal to area b. 
D) equal to zero. 
E) equal to area e.

Quizplus · Accepted Answer

The Answer of The figure below shows the cost and revenue curves faced by a monopolist. If this monopolist practices perfect price discrimination, the consumer surplus is:​ ​
Figure 9.10
​
 
A) equal to area a + b + c. 
B) equal to area b + e. 
C) equal to area b. 
D) equal to zero. 
E) equal to area e.

The Figure Below Shows the Cost and Revenue Curves Faced