Refer to Figure 15-17. If this firm were able to perfectly price discriminate, which of the following areas would represent the profit to this perfectly discriminating monopolist?
a. ACG
b. BCFE
c. ABE
d. EFG
Ans: a. ACG
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Who said "If it moves, tax it. If it still moves, regulate it. If it stops moving, subsidize it."?
A) Barack Obama B) Ronald Reagan C) Vilfredo Pareto D) Adam Smith
A decrease in the marginal revenue product of land will: a. decrease the supply of land
b. increase the rental earnings from land. c. increase the price of land. d. decrease the demand for land.
You are a hotel manager and you are considering four projects that yield different payoffs, depending upon whether there is an economic boom or a recession. The potential payoffs and corresponding payoffs are summarized in the following table.ProjectBoom (50%)Recession (50%)A$20-$10B-$10$20C$30-$30D$50$50The expected value of project D is:
A. $10. B. $20. C. $5. D. None of the answers are correct.
Factors that impede the attainment of economic efficiency in the public sector are called:
A. market failures. B. externalities. C. government failures. D. voting irregularities.