Multiple Choice
Use the following to answer questions:
Figure: The Profit-Maximizing Output and Price
-(Figure: The Profit-Maximizing Output and Price) Look at the figure The Profit-Maximizing Output and Price. Assume that there are no fixed costs and AC = MC = $200. The monopolist who can use price discrimination perfectly will produce an output of _____ diamonds.
A) 0
B) 6
C) 16
D) 20
Correct Answer:

Verified
Correct Answer:
Verified
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