True or False:
1. If, at a monopolist’s profit-maximizing price and output, the price is greater than average total cost, the monopolist is generating economic losses.
2. Economic profits cannot persist in the long run for a monopolist.
3. A monopolist will incur a loss if demand is insufficient to cover average total costs at any price and output combination along its demand curve.
4. Having monopoly guarantees economic profits.
5. Perfect competition leads to lower output and higher prices than would exist under monopoly.
6. Monopoly creates a welfare loss because a monopoly does not produce enough of a good from society’s perspective.
7. Economists widely agree about the size of the welfare loss from monopoly.