Business

13 August, 17:43

A firm with market power has an inverse demand curve of P = 450 - 5Q and marginal cost of MC = 40Q, where Q is measured in thousands. What is the deadweight loss from market power at the firm's profit-maximizing output level?

A. $280,000

B. $9,400

C. $22,500

D. $15,000

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