Recall the Application about the merger of Sirius Satellite Radio and XM Satellite Radio to answer the following question(s).Recall the Application. Sirius and XM proposed the merger because they were:
A. losing money because their fixed costs were very high.
B. losing money because they faced the advertisers' dilemma.
C. earning duopolists' profits that were greater than zero, but knew they could earn more as a single firm.
D. losing money because their variable costs were higher than the price they could charge.
Answer: A
You might also like to view...
What is TRUE when the credit market is in equilibrium?
A) The legal minimum wage equals the actual wage. B) Desired saving equals desired investment. C) Desired employment equals the number of jobs available. D) Desired consumption spending equals the total of saving plus investment.
Refer to Scenario 3. The average total cost of 5 units of output is:
A) $8. B) $10. C) $29. D) $39.
In 2009, President Obama proposed raising the income tax on those making over $250,000 per year. Discuss the merits of this plan.
What will be an ideal response?
In general, educating workers:
A. makes them more productive. B. does not affect overall economic growth. C. contributes little to other capabilities. D. All of these statements are true.