When a Monopolist Charges Everybody Exactly What They're Willing to Pay

question 38

Multiple Choice

When a monopolist charges everybody exactly what they're willing to pay

• A)consumer surplus is positive and the dead weight loss is positive
• B)consumer surplus is zero and the dead weight loss is zero
• C)consumer surplus is positive and the dead weight loss is zero
• D)consumer surplus is zero and the dead weight loss is positive

---

Definitions:

Economic Variables

Quantitative measures that represent a characteristic of the economy or a part of the economy, influencing or describing economic activity.

Positive Economic Analysis

An objective approach to economics that focuses on describing and explaining economic phenomena without making normative judgments.

Fallacy of Composition

Erroneous view that what is true for the individual (or the part) will also be true for the group (or the whole).

Association

An organization or group of individuals who voluntarily come together to achieve common goals, often representing a profession, industry, or interest.