Question 1
If all Pareto improvements have been made,
◦ the result is increased government regulations.
◦ the outcome is Pareto efficient.
◦ consumer surplus is maximized.
◦ monopolists are unhappy.
Question 2
If Pareto efficiency has been achieved,
◦ there are no additional Pareto improvements that can be made.
◦ surplus is maximized.
◦ economic efficiency is also achieved.
◦ All of these.