Refer to the graph above representing the purely

70. Refer to the graph above representing the purely competitive market for a product. When
the market is at equilibrium, the total opportunity cost of producing the equilibrium output
level would be represented by the area:
A. b + c
B. b
C. c
D. a + b + c
71. Refer to the graph above representing the purely competitive market for a product. When
the market is at equilibrium, the total revenues from selling the equilibrium output level
would be represented by the area:
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Chapter 09 - Pure Competition in the Long Run
72. Refer to the graph above representing the purely competitive market for a product. When
the market is at equilibrium, the deadweight loss would be:
73. Refer to the graph above representing the purely competitive market for a product. When
allocative efficiency is attained in this market, the sum of the consumer and producer surplus
will be areas:
74. If there is allocative efficiency in a purely competitive market for a product, the maximum
price consumers are willing to pay is:
A. Less than marginal benefit
B. Greater than marginal cost
C. Equal to the amount of efficiency or deadweight losses
D. Equal to the minimum price producers are willing to accept
75. When there is allocative efficiency in a purely competitive market for a product, the
minimum price producers are willing to accept is:
76. A patent gives a firm the power to charge a price that:

Chapter 09 - Pure Competition in the Long Run
77. If the maker of a patented drug sells the drug at a price above the equilibrium price, then
there:
78. If the patent on a drug expires and the average price of the drug falls to a lower
equilibrium price, there will be:
A. A loss in efficiency
B. A gain in economic profit
C. An increase in consumer surplus
D. An increase in the producer surplus