Multiple Choice
Consider a profit-maximising monopoly pricing under the following conditions.The profit-maximising price charged for goods produced is $18.The intersection of the marginal-revenue and marginal-cost curves occurs where output is 10 units and marginal cost is $6.The socially efficient level of production is 14 units.The demand curve and marginal-cost curves are linear.What is the deadweight loss?
A) $6
B) $24
C) $48
D) not enough information is given to answer this question
Correct Answer:

Verified
Correct Answer:
Verified
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