Suppose that a firm has a monopoly on a good with the following demand schedule:
Price Quantity
$10 0
9 1
8 2
7 3
6 4
5 5
4 6
3 7
2 8
1 9
0 10
a. What price and quantity will the monopolist produce at if the marginal cost is a constant $4?
b. Calculate the deadweight loss from having the monopolist produce, rather than a perfect competitor.