Assignment:
This activity is preparation for the essay questions on the midterm.Answer the below essay questions with 3 well written paragraphs that FULLY ANSWER THE QUESTION. Do not copy anything directly out of the textbook or from the internet - that is plagiarism and you will get a zero for the assignment. Each question is 5 points.
Submit your answers to Activity4 in the Assignments Folder, either in the text box or as a Word doc.
Critically evaluate and explain each statement:
1. The more profitable a firm, the greater its monopoly power.
2. With respect to resource allocation, the interests of the seller and of society coincide in a purely competitive market but conflict in a monopolized market.