-In the Above Figure, Which of the Following Statements Is

question 81

Multiple Choice

-In the above figure, which of the following statements is FALSE if the firm is operating at output level Q2?

• A) The output is equivalent to an unregulated monopolist.
• B) Economic profits are positive.
• C) The price is lower than at an equivalent firm forced by regulators to charge ATC pricing.
• D) Average costs would be lowered by expanding output.

---

Definitions:

Under Benefited

A feeling or situation where an individual perceives they are receiving less reward than they deserve compared to others.

Overbenefited

A situation where one receives more benefits or resources than what is fair or deserved.

Inequity

A condition under which fair treatment is not received or given, often leading to disparities among individuals or groups.

Inequality

The state of not being equal, especially in status, rights, and opportunities.