Assume that a firm’s marginal cost is $15 and the price elasticity of demand is -4.  What is the the firm’s profit maximizing price approximately?

Compare the social welfare under perfect competition and monopoly. Explain what is deadweight loss in the context. What is the befit of monopoly for the society?

Compared to the equilibrium price and quantity sold in a competitive market, a monopolist will charge a ________ price and sell a ________ quantity.

Which of the following policies could lead to a deadweight loss?

A doctor charges two different prices for medical services, and the price level depends on the patients’ income such that wealthy patients are charged more than poorer ones. This pricing scheme represents a form of

Producer surplus is measured as the

A national chain of bookstores has initiated a frequent buyer program. If you buy a frequent buyer card for $10, you are entitled to a 10 percent discount on all purchases for 1 year. This practice is an example of:

    At price 0E and quantity Q*, the deadweight loss is

When the movie Jurassic Park debuted in Westwood, California, the price of tickets was $7.50. After several months the ticket price had fallen to $4.00. This is an example of

Suppose the government raises the price of cheese above the market equilibrium level (P0) by imposing a high minimum price and purchasing all of the excess supply from the market, and these quantities are destroyed. Based on the areas in the figure below, what is the change in consumer surplus after this policy is adopted?