The area of economic profit shown in the above figure for the ...

[Mollykgkg]

The area of economic profit shown in the above figure for the single-price monopolist is
 
  A) bed.
  B) P3P5fc.
  C) 0P5fQ1.
  D) 0P4eQ3.

Question 2

Explain the difference between the fair rules and the fair results guidelines for competitive market fairness.
 
  What will be an ideal response?

[Kdiggy]

Answer to Question 1

B

Answer to Question 2

Economists do not agree on how to judge whether an outcome is fair. Some believe that an outcome is not fair if the results are not fair. Consider how incomes are distributed by the labor market. Because income is not distributed equally, one group of economists believes that the labor market is not a fair market. To make the outcome (and results) fair, these economists believe that income should be redistributed by the government.
Other economists are not concerned with fair results. They aren't concerned with the unequal distribution of income as long as the rules to earn income are fair. As long as there is voluntary exchange and property rights are enforced, this group of economists believes the market outcome is fair.