Assume a Hypothetical Case Where an Industry Begins as Perfectly

Multiple Choice

Assume a hypothetical case where an industry begins as perfectly competitive and then becomes a monopoly.As a result of this change

A) Price will be higher, output will be lower and the deadweight loss will be eliminated.
B) Consumer surplus will be smaller, producer surplus will be greater and there will be a reduction in economic efficiency.
C) Price will be higher, consumer surplus will be greater and output will be greater.
D) Consumer surplus will be smaller and producer surplus will be greater. There will be a net increase in economic surplus.