A movie monopolist sells to students and adults. The demand function for students is QdS = 600 - 100P and the demand function for adults is QdA = 1,200 - 100P. The marginal cost is $2 per ticket. Suppose the movie theater can price discriminate. What is the monopolist's profit from adults?
A. $400
B. $2,400
C. $2,500
D. $0
C. $2,500
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The natural rate of interest is the interest rate that
A) is determined by the intersection of the IS and LM curves. B) equates investment and saving at full employment. C) equates the supply and demand for money. D) is changed only by changes in the money supply.
The principal buyers in financial markets are ________
A) financial intermediaries B) nonfinancial businesses C) commercial banks D) individual savers
Threats to in internal validity lead to
A) perfect multicollinearity B) the inability to transfer data sets into your statistical package C) failures of one or more of the least squares assumptions D) a false generalization to the population of interest
Critics argue that U.S. industrial policy: a. currently focuses only on developing the airlines industry
b. discourages spending on basic research in universities. c. should shift from a military to a civilian focus. d. gives foreign industries an advantage over domestic producers. e. provides too much protection to domestic industries.