Recall the Application about price discrimination using refillable soda bottles to answer the following question(s).According to the Application, how does the firm earn a larger profit through the refillable soda bottles?
A. The consumers who were not likely to buy the soda gets a lower price, making them more likely to purchase soda.
B. The seller saves money from recycling the disposable bottles.
C. The seller earns more revenue from sale of the expensive recyclable bottles.
D. The consumers advertise to friends that the seller gives discount through refillable bottles, causing an increase in demand.
Answer: A
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Figure 7-13
Figure 7-13 shows the average total cost curves of four firms that produce milk. Some of the dairies are more productive. AR = P is the long-run price of milk. How many of these dairies will remain in the industry in the long run?
A. All of them B. Only 2 C. Only 3 D. Cannot determine with information given
Which aggregate measure is used to determine whether or not a country is experiencing a recession?
A) Nominal GDP B) Nominal interest rate C) Real GDP D) Real interest rate E) Gross business inventory investment
Refer to Figure 29-1. The depreciation of the euro is represented as a movement from
A) C to D. B) B to C. C) B to A. D) D to A.
The gains from trade are divided in proportion to the price changes that trade brings to the trading countries.
Answer the following statement true (T) or false (F)