Open the screen shots to read the instructions. When placing the symbols on the graph, please clarify the exact coordinates as to where you are plotting them.
NOTE: The options for the fill in the blanks on the last graph are A. Perfectly competitve market B. Monopoly for each.
markyoun x Course He X MindTap - X M Inbox - me x & Copy of F X <_> Next Step x w City Coun x Up Messages X Mail - You x Martinez | X + X C D ng.cengage.com/staticb/ui/evo/index.html?deploymentld=58122127521698889548036&elSBN=9781337621434&id=930613951&snapshotld=1975450& Email-school = Introduction to Soci.. r Connect-Biol 1107 : D2L ] MATH MindTap - Cengage.. #s child support Rick Barker's Music.. Digital Resources f.. Quesitons for Discu. Mark CENGAGE | MINDTAP Q Search this course ? My Home Homework: Monopoly (Ch 10) X Courses Consider the daily market for hot dogs in a small city. Suppose that this market is in long-run perfectly competitive equilibrium, with many hot dog stands in the city, each one selling the same kind of hot dogs. Therefore, each vendor is a price taker and possesses no market power. Catalog and Study Tools The following graph shows the demand (D) and supply curves (S = MC) in the market for hot dogs. A-Z Partner Offers Place the black point (plus symbol) on the graph to indicate the market price and quantity that will result from perfect competition. Use the green Rental Options point (triangle symbol) to shade the area that represents consumers' surplus, and use the purple point (diamond symbol) to shade the area that represents producers' surplus. College Success Tips Career Success Tips ? Help Perfectly Competitive Market 5.0 Give Feedback 4.5 bangs 40 PC Outcome PRICE (Dollars per hot dog) 3.5 A 3.0 Consumers' Surplus 20 S=MC Producers' Surplus A+ 10 05 50 100 150 200 250 300 350 400 450 500 QUANTITY (Hot dogs) O M + 10:41markyoun x Course He X MindTap - X M Inbox - me x & Copy of F X <_> Next Step x w City Coun x Up Messages X Mail - You x Martinez | X + X C D ng.cengage.com/staticb/ui/evo/index.html?deploymentld=58122127521698889548036&elSBN=9781337621434&id=930613951&snapshotld=1975450& Email-school = Introduction to Soci.. r Connect-Biol 1107 : D2L ] MATH MindTap - Cengage.. #s child support Rick Barker's Music.. Digital Resources f.. Quesitons for Discu. Mark CENGAGE | MINDTAP Q Search this course ? My Home Homework: Monopoly (Ch 10) X Assume that one of the hot dog vendors successfully lobbies the city council to obtain the exclusive right to sell hot dogs within the city limits. This Courses firm buys up all the rest of the hot dog vendors in the city and operates as a monopoly. Assume that this change doesn't affect demand and that the Catalog and Study Tools new monopoly's marginal cost curve corresponds exactly to the supply curve on the previous graph. Under this assumption, the following graph shows the demand (D), marginal revenue (MR), and marginal cost (MC) curves for the monopoly firm. A-Z Partner Offers Place the black point (plus symbol) on the following graph to indicate the profit-maximizing price and quantity of a monopolist. Use the green points Rental Options (triangle symbol) to shade the area that represents consumers' surplus, and use the purple points (diamond symbol) to shade the area that represents producers' surplus. College Success Tips Career Success Tips ? Help Monopoly Give Feedback 5.0 + 15 bangs 4.0 Monopoly Outcome PRICE (Dollars per hot dog) 3.5 A 3.0 Consumers' Surplus Producers' Surplus A+ MC 15 + 10 Deadweight Loss 0.5 MR D 0 0 100 150 200 250 300 350 400 450 500 QUANTITY (Hot dogs) + 10:41(1 unread x Course He X MindTap - X M Inbox - me x 5 Copy of F X _> Next Step x w City Coun x Up Messages X Mail - You x Martinez | X + X ng.cengage.com/staticb/ui/evo/index.html?deploymentld=58122127521698889548036&elSBN=9781337621434&id=930613951&snapshotld=1975450& Email-school = Introduction to Soci.. r Connect-Biol 1107 : D2L ] MATH MindTap - Cengage.. Hsi child support 5 Rick Barker's Music.. Digital Resources f.. Quesitons for Discu. Mark CENGAGE | MINDTAP Q Search this course ? My Home Homework: Monopoly (Ch 10) X MR Courses 50 150 200 250 300 350 400 450 500 QUANTITY (Hot dogs) Catalog and Study Tools A-Z Partner Offers Consider the welfare effects when the industry operates under a perfectly competitive market versus a monopoly. Rental Options On the monopoly graph, use the black points (plus symbol) to shade the area that represents the loss of welfare from a monopoly, or deadweight loss. College Success Tips That is, show the area that was formerly producers' surplus or consumers' surplus and now does not accrue to anybody. Career Success Tips Deadweight loss occurs when a monopoly controls a market because the resulting equilibrium is different from the perfectly competitive outcome, which is efficient. ? Help Give Feedback In the following table, enter the price and quantity that would arise in a perfectly competitive market; then enter the profit-maximizing price and bangs quantity that would be chosen if a monopolist controlled this market. Price Quantity Market Structure (Dollars) (Hot dogs) Perfectly Competitive Monopoly A+ Given the summary table of the two different market structures, you can infer that, in general, the price is higher under a , and the quantity is lower under a Grade It Now Save & Continue Continue without saving 9 M 10:42
