If the regulator wants to avoid any deadweight loss in a natural ...

[mynx]

If the regulator wants to avoid any deadweight loss in a natural monopoly market, the regulator has the firm set its price equal to its
 
  A) average fixed cost.
  B) average total cost.
  C) average variable cost.
  D) marginal cost.

Question 2

In the above table, if the market is perfectly competitive and unregulated, the equilibrium output will be
 
  A) 1,000 units.
  B) 2,000 units.
  C) 3,000 units.
  D) 4,000 units.

[blazinlyss]

Answer to Question 1

D

Answer to Question 2

C

[mynx]

Correct answers!

[blazinlyss]

Great! Please up vote