18.1 A monopolist can produce at constant average and marginal costs of AC = MC = 5. The firm faces a market demand curve given by Q = 53 — P

a. Calculate the profit-maximizing price-quantity combination for the monopolist. Also cal culate the monopolist's profits.

b. What output level would be produced by this industry under perfect competition (where price = marginal cost)?

c. Calculate the consumer surplus obtained by consumers in case (b). Show that this ex ceeds the sum of the monopolist's profits and the consumer surplus received in case (a).
What is the value of the "deadweight loss" from monopolization?