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Assignment in attachment 1. What are the four most important ways a firm becomes a monopoly? Will a monopoly that maximizes profit also be

July 6, 2025

Assignment in attachment

1. What are the four most important ways a firm becomes a monopoly? Will a
monopoly that maximizes profit also be maximizing revenue? Will it be maximizing
output? Explain.

2. Assume the graph below represents the market for a monopolist. What quantity will
the monopolist produce, and what price will she charge? What will her total revenue,
costs, and profit be at this production level? What will the deadweight loss for
society be at this level of production? (Assume the MC curve is a straight line
between the relevant points for this calculation.)

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