Micro doubt

Posted by lucy on Feb 08, 2015; 7:47pm
URL: http://discussion-forum.276.s1.nabble.com/Micro-doubt-tp7595803.html

Assuming a downward sloping linear demand curve and a constant Marginal cost of
production, the dead weight loss due to monopoly pricing ( as against the marginal cost
pricing rule) is
A. equal to the profits ofthe monopolist
B. is roughly equal to 1/3 rd ofthe monopoly profits
C. is equal to one half of the monopoly profits
D. is equal to one fourth of monopoly profits