A Monopoly Creates Deadweight Loss While a Perfectly Competitive Industry

question 238

Multiple Choice

A monopoly creates deadweight loss while a perfectly competitive industry does not because _____ than those of a perfectly competitive industry.

• A) both monopoly output and price are higher
• B) both monopoly output and price are lower
• C) monopoly output is higher but its price is lower
• D) monopoly output is lower but its price is higher