The Economic Way of Thinking 13th Edition by David Prychitko, Peter Boettke, Paul Heyne

Exercise 3

Locate the most profitable uniform price for sellers to set in each of the situations graphed in Figure 8-5, and the quantity they will want to produce and sell. Then shade the area that represents the addition to net income from that pricing policy. What will happen to net income in each case if the price is raised? If it's lowered? ( Caution : What happens if a seller whose marginal-revenue curve is the same as the demand curve raises the price?)