Multiple Choice
The following figure shows the downward sloping demand and marginal revenue [MR] curves of a monopolist.The MR curve intersects the marginal cost [MC] curve at point B.MC is constant at the price level P1.
Figure 12-1
-Refer to Figure 12-1.If the monopolist practices perfect price discrimination,consumer surplus will be equal to:
A) the area P3AP2.
B) the area P3CP1.
C) the area ABC.
D) zero.
Correct Answer:

Verified
Correct Answer:
Verified
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