5. True or false. Place T or F next to each statement. (ms pls. each) a Along a linear demand curve, if we learn that a 10% decrease in price causes a more than 10% increase in quantity demanded, then we deduce that we are on the upper half of the demand curve. Assuming linear demand, a per-unit tax of T would result in the single-price monopolist raising its price by T. The case in which P. = $6, MC1= $2, P1 = $12 and MC1= 54 would be considered a case ofthird-degree price discrimination. The prot-maximizing condition under 3"i degree price discrimination (no resale is possible) is MR. = MR1 = MC and if initially it was the case that MR. := MR2 the seller could transfer one unit from market group 2 to market group 1, thus resulting in higher TR, higher TC and higher profit. See Figure 1. Under a single price rlrvzrnopolist1 the deadweight loss would be area 1?: whereas under perfect price discrimination it would be only area f. $funit Figure 1