Advanced Placement (AP), 12.03.2020 20:10 leannaadrian
Assume that electricity production has been done by several regional firms in the U. S. each operating as a pure monopoly.
Explain and graphically illustrate how the electrical monopolist would determine its profit maximizing price and output level. (Label Pm and Qm)
Identify any area of consumer and/or producer surplus for the profit maximizing monopoly.
Identify the deadweight loss for the monopolist.
Now assume the federal government imposes a regulation on the monopoly. Draw a new monopoly graph for part 2.
Show and explain how the regulated electrical monopolist would determine its profit-maximizing price and output level. (Label Pr and Qr)
Identify any area of consumer surplus and/or producer surplus for the profit maximizing monopoly.
Now the federal government decides to deregulate the market for electricity nationwide. Draw a new monopoly graph for part 3.
Show and explain how deregulation will impact price and output in the now perfectly competitive market for electricity production. (Hint: You should use a monopoly graph to show where the perfectly competitor would set price and quantity.) (Label Ppc and Qpc)
Identify any area of consumer surplus and/or producer surplus for the de-regulated monopoly.
(If need be, message me the graphs or I can send my email and can be sent that way)
Answers: 3
Advanced Placement (AP), 26.06.2019 13:50, elijahedgar876
Ahummingbird travels from plant to plant to feed itself. which of the following ecosystem services does this hummingbird most likely provide? i. pollination ii. seed dispersal iii. soil preservation i only ii only iii only i and ii only ii and iii only
Answers: 2
Assume that electricity production has been done by several regional firms in the U. S. each operati...
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