Exhibli Quantity 19. Refer to Exhibit 24-3. The profit of the single-

Exhibli Quantity 19. Refer to Exhibit 24-3. The profit of the single-price monopolist is a. positive. b. zero. c. negative. d. uncertain without more information. 20. Refer to Exhibit 24-3. If average-total-cost pricing regulation were imposed, the firm would be forced to set price at the level of a. P b. P. c. P. d. P e . Ps. True/False Indicate whether the statement is true (T) or false (F). Each correct answer is worth 2 points. 21. The minimum wage is a good example of a price ceiling. _ 22. In a perfectly competitive market, the market demand curve is perfectly elastic. 23. When a negative externality exists, the market is said to produce too little of the good connected with the negative externality. 24. According to the substitution effect, as the wage rate rises the monetary reward from working increases, and workers will want to work more. 25. The sale of goods abroad at a price below their cost in the domestic market is called dumping Short answer section: Question 1: Exhibit 1 shows perfectly competiti Variable Price Fixed Output Input w perfectly competitive As stand output information. Input Marginal Total Total Fred Variable Cat Cat Marginal Cost Product of Variable Tapet SIO S101 10 S10125 $ 1045 SIO SIO 1 70 Using the values given in exhibit 1 answer the following questions points) units a. The marginal physical product (MPP) in blank (B) is b. Average total cost of producing 45 units of output is c. The marginal cost in blank (G) is d. The profit maximizing level of output is dollars _units. Question 2: Exhibit 4-8 Prix of What O , Quantity a) Define consumer surplus: (3 points) b) Refer to Exhibit 4-8 and using areas 1 through 6. If the wheat market is in competitive market equilibrium (Pl and Q2), the consumers surplus will equal area(s) (1 point) c) Define producer surplus: (3 points) b) Refer to Exhibit 4-8 and using areas 1 through 6. producers surplus at price PE will (1 point)

single-