Question 35

A monopolist faces market demand given by P = 140 - Q. For this market, MR = 140 - 2Q and MC = 20. What quantity of output will the monopolist produce in order to maximize profits?

A	40
B	50
C	60
D	100

Question 36

A monopolist faces market demand given by P = 100 - 3Q. For this market, MR = 100 - 6Q and MC = 25. What is the deadweight loss due to the monopoly?

A	$156.25
B	$234.38
C	$312.50
D	$468.76

Question 37

A monopolist faces market demand given by P = 100 - 3Q. For this market, MR = 100 - 5Q and MC = 25. What quantity of output will the monopolist produce in order to maximize profits?

A	15
B	25.0
C	62.5
D	75.0

Question 38

For a monopolist, how do we determine the sign of the marginal-revenue curve?

A	It is positive when the demand effect is greater than the supply effect.
B	It is positive when the monopoly effect is greater than the competitive effect.
C	It is negative when the price effect is greater than the output effect.
D	It is negative when the output effect is greater than the price effect.

Question 39

A monopolist faces market demand given by P = 75 - Q. For this market, MR = 90 - 2Q and MC = Q. What price will the monopolist charge in order to maximize profits?

A	$35
B	$47
C	$56
D	$75

Question 40

As the number of firms in an oligopoly increases, what happens?

A	Each seller becomes more concerned about its impact on the market price.
B	The output effect decreases.
C	The quantity of output becomes closer to the socially efficient quantity.
D	The price of the firms' products and services increases.