The higher prices charged by monopolists

A) are like a private tax that redistributes income from consumers to monopoly sellers.
B) are socially optimal because they better reflect how much society values the good relative to the resources used to produce it.
C) return to consumers through the public goods provided by monopolies.
D) have no effect on the distribution of income.

Higher Prices

A situation where the cost of goods or services increases, often due to factors such as inflation, increased demand, or higher production costs.

Monopolists

Single sellers in a market who have significant control over the price and supply of a particular product or service.

Income Redistribution

The governmental policy or action of adjusting the distribution of income, usually through taxation and welfare programs, to achieve a fairer society.