Concerned that Subway customers are tempted to overeat by the low price of foot-longs, the California food police established a regulation forbidding quantity discounts in fast food. As a consequence, the price of a foot-long sandwiches must be exactly twice the price of a 6-inch sandwich. As a result of this regulation,

a) deadweight loss decreases.

b) consumer surplus decreases for those who would have chosen 6-inch sandwiches before the regulation.

c) Subway's profits decrease.

d) the total length of sandwiches sold increases.

e) all of the above are true.

Which of the following is not true for a single-price monopolist with market power?

a) When the firm maximizes its profits, P > MC.

b) MR < P for all levels of output (beyond the first).

c) When the firm maximizes its profits, MR = MC.

d) When consumers have many substitutes, the monopoly price will be lower.

e) All of the above are true.