Suppose the cost of flying a 200-seat plane for an airline is $100,000 and there are 10 empty seats on a flight. The airline should sell a ticket to a standby passenger only if the passenger is willing to pay
a. more than $200.
b. more than $300.
c. more than $500.
d. This cannot be determined from the information given.
d
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Historically, investment in stocks have been a prudent investment
A. because stock prices have stayed roughly constant over time. B. because stock prices have generally risen over time. C. because stocks no longer carry any underlying risk. D. because stocks can easily be converted to corporate bonds.
Adaptive expectation is a theory in which people look at current economic changes and adapt their beliefs and behavior almost immediately to such changes
a. True b. False Indicate whether the statement is true or false
Refer to the scenario above. What can Edward do to induce the housekeeper to work regularly?
A) Pay an efficient wage B) Pay a lower money wage C) Pay a lower real wage D) Pay the minimum wage that the housekeeper would accept
Which of the following factors is not believed to affect output in the long run?
A) technology B) monetary policy C) the size of the labor force D) the capital stock