When network externalities are present, the market demand for the good in question becomes:
A. less elastic.
B. more elastic.
C. unit elastic.
D. perfectly inelastic.
B. more elastic.
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The table above shows the total cost incurred by Sue's Coat Shop, a perfectly competitive firm. If the market price of a coat is $285, Sue's will maximize economic profit by selling ________ coats a day
A) 7 B) 11 C) 8 D) 9
New Deal environmental policies included all of the following except:
a. withdrawal of much of the public domain from private entry. b. the use of the "soil bank" to encourage agricultural conservation. c. projects such as the TVA that simultaneously protected many resources in a region. d. the establishment of Yellowstone as a national park.
When a country allows trade and becomes an importer of a good,
a. both domestic producers and domestic consumers become better off. b. domestic producers become better off, and domestic consumers become worse off. c. domestic producers become worse off, and domestic consumers become better off. d. both domestic producers and domestic consumers become worse off.
Airlines charge business travelers more than leisure travelers because there is a more:
A. Elastic supply of business travel B. Inelastic supply of business travel C. Elastic demand for business travel D. Inelastic demand for business travel