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QUESTION 4 1 points Save Answer Scenario 10.1: Barbara is a producer in a single price monopoly industry. Her demand curve, total revenue curve, marginal revenue curve and total cost functions are given as follows: Q = 160 - 4 P TR = 40 Q - 0.25 Q 2 MR = 40 - 0.5 Q TC = 4 0 MC = 4 Refer to Scenario 10.1. The price of her product will be O 32 O 42 04 O 72 O 22 QUESTION 5 1 points Save Answer If a monopolist's profits were taxed away and redistributed to its consumers, O inefficiency would remain, but not because output would be lower than under competitive conditions. O inefficiency would remain because output would be lower than under competitive conditions. O efficiency would be obtained because output would be increased and profits removed. O efficiency would be obtained because output would be increased to the competitive level. QUESTION 6 1 points Save Answer Which of the following explains why a monopolist may have higher costs than an equivalent competitive firm? O The monopolist may incur costs in lobbying the government to grant its monopoly privilege. O If the monopolist has its profits limited by regulation, it may choose to spend more money, thus raising costs, instead of reducing its revenue. O Monopolists typically spend more on customer service than competitive firms. Both A and B are correct. O Both A and C are correct