Question

These two questions please

Figure 15-2 The figure below reflects the cost and revenue structure for a monopoly firm. Cost and Revenue (5) Curve Curve G C VOR Quantity Refer to Figure 15-2. Which curve depicts the average-total-cost curve for a monopoly firm?

Answer 1

Answer

A curve slopes upward and cuts the ATC at its minimum is a marginal cost curve so the curve C is marginal cost curve and it cuts minimum point on ATC curve so the ATC curve is curve D

Option 4

Curve D

==============

Answer

A socially optimum equilibrium is at MC=P at point e

And the monopoly equilibrium is at point b

Deadweight loss is the area between price and marginal cost of monopoly and, between monopoly quantity and socially optimum quantity

So the DWL is area beg

Option 2

bge