ECON 1B03 Study Guide - Final Guide: Deadweight Loss, Marginal Revenue, Externality

• School: McMaster University
• Department: Economics
• Course: ECON 1B03
• Professor: Aleksandra Gajic

Document Summary

This test paper contains 16 pages including the title page and 65 questions + 1 bonus question. You are responsible for ensuring that your copy of the paper is complete. Please bring any discrepancy to the attention of your invigilator. Only the mcmaster standard (casio - fx991) calculator may be used. This test paper must be returned along with the scan sheet. Write your name and student number on the test paper and the scan sheet. Bubble in your student number and version on the scan sheet. Identify the choice that best completes the statement or answers the question. The figure depicts the demand, marginal-revenue, and marginal-cost curves of a profit-maximizing monopolist: refer to figure 15-7. If the monopoly firm perfectly price discriminates, what is consumer surplus: refer to figure 15-7. A monopoly firm maximizes its profit by producing 500 units output (so q = 500).