1.Suppose a firm faces the inverse demand curve, P = 100 - Q. Marginal cost is constant at $10. Suppose the firm uses block pricing, selling the first 45 units at $55 per unit, the next 20 units at $35 per unit, and the next 20 units at $15 per unit. The deadweight loss in this case is $____.

12.50

6.50

9.75

0

2.uppose the demand for good X shifts in. Which of the following statements is (are) possibly TRUE? I. The price of good X increased. II. The price of a substitute good decreased. III. The price of a complement good increased.

I

II

II and III

I, II, and III

3.Suppose a firm faces the inverse demand curve, P = 100 - Q. Marginal cost is constant at $10. The producer surplus under monopoly pricing is $____.

2,025

2,000

2,625

2,465

10.Suppose a firm's short-run production function is given by Q = 16L^0.8. What is the marginal product of the fourth worker?

49

36

1.85

10