From the list on your right select the letter that contains the word, phrase, name, etc that best matches the word, phrase, name, etc listed on the left.
Question 21 options:
A monopolist's demand curve
Natural monopoly
Profit maximizing output for a single monopolist
Lies below the firm's demand curve
A legal barrier
Resource allocative efficiency (just like in perfect competition)
Third degree price discrimination
AC > P
Unlike a firm in perfect competition, a monopolist can maintain positive economic profit in the long-run
Deadweight loss
1.
The presence of high barriers to entry
2.
Only a single firm producing at a large scale can achieve the necessary cost advantage to produce the good or service (economies of scale)
3.
The MR curve of a single price monopolist
4.
At the level where MR = MC, P > MC, and P > MR
5.
A perfectly price-discriminating monopolist
6.
Charging different prices to different segments of the buying population (students, seniors, veterans, etc) to transfers consumers' surplus to producers
7.
Economic loss
8.
A patent
9.
Downward sloping
10.
The loss of consumer and producer surplus for not producing the competitive level of output
11.
The loss of profit because of the failure of the monopolist to produce the profit maximizing level of output at MR = MC
12.
Perfectly elastic (horizontal)
13.
Price discrimination based on quantity (example: an electric company charging a given rate for the 1st 250 kilowatt hours and a different rate for each additional kilowatt hour over 250)
14.
Opportunity cost
15.
The AR curve of a price discriminating monopolist
16.
Illegal in the U.S. and many other countries