The figure below shows the market equilibrium (point B) at the intersection of demand and supply curves under perfect competition. Figure 10.5
D: Market demand curve
S: Market supply curve
Refer to Figure 10.5.Assume that the curve labeled S represents the monopolist's marginal-cost curve and the curve labeled D represents the monopolist's demand curve.Which of the following will represent the consumer surplus?
A) The area PPCBA
B) The area 0BPPC
C) The area 0BA
D) An area that is less than PPCBA
E) The area ABS
Correct Answer:
Verified
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