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Value of deadweight loss created by monopoly

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Reference no: EM131113072

Suppose a monopolist faces the following demand curve: P = 180 - 4Q. Marginal cost of production is constant and equal to $20, and there are no fixed costs.

What is the value of the deadweight loss created by this monopoly?

A) 200

B) 400

C) 800

D) 512.5

E) 1,600

F) none of the above

Reference no: EM131113072

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