The high prices charged by monopolists will cause the monopolists':
gains to be less than the lost consumer surplus.
losses to be less than the consumer gain.
losses to exceed the consumer gain.
gains to exceed the lost consumer surplus.
In a monopolistic market, the monopolist sets prices higher than the marginal cost of production, which leads to a reduction in consumer surplus. The monopolist captures some of this consumer surplus as producer surplus (or profit).
The correct statement regarding the relationship between the monopolist's gains and the lost consumer surplus is:
gains to exceed the lost consumer surplus.
This is because the monopolist's pricing strategy allows them to capture a significant portion of the consumer surplus, resulting in their gains being greater than the total loss in consumer surplus.