Exhibit 8-3  Demand and Cost Curves for GeneTech, a Monopolist with a Patented

question 156

Multiple Choice

Exhibit 8-3  Demand and cost curves for GeneTech, a monopolist with a patented vaccine In Exhibit 8-3, what is the maximum hourly profit that GeneTech can earn from its vaccine?

• A) $1,500.
• B) $3,000.
• C) $4,500.
• D) $10,500.

---

Definitions:

Abuse Alcohol

The harmful use of alcohol that leads to health problems, social issues, and psychological disorders.

Prohibition

A period in history, particularly in the United States (1920-1933), when the production, importation, transportation, and sale of alcohol were banned.

Civil War

An internal conflict within a country between differing factions, states, or governments, often characterized by intense military engagements and significant casualties.

World War II

A global conflict that lasted from 1939 to 1945, involving most of the world's nations and resulting in significant geopolitical changes.