If at the current level of product-specific service, consumers' value at $15 and the cost of retailers to provide the services is $10, which of the following is true?
A) the profit-maximizing level of profit-maximizing services is less than the current level
B) the profit-maximizing amount of product-specific services is being offered.
C) the profit-maximizing level of profit-maximizing services is greater than the current level
D) the profit-maximizing level of profit-maximizing services is exactly one -half of the current level
C) the profit-maximizing level of profit-maximizing services is greater than the current level
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Moe has a big exam tomorrow. He considered studying this evening, but decided to hang out with Curly instead. If neither activity involves any explicit costs, and Moe always chooses rationally, then it must be true that:
A. Moe gets less benefit from spending time with Curly than from studying. B. the opportunity cost of studying is greater than the value Moe gets from spending time with Curly. C. Moe gets more benefit from spending time with Curly than from studying. D. the opportunity cost of studying is less than the value Moe gets from spending time with Curly.
Figure 10-9 shows the demand and cost curves for a monopolist. Refer to Figure 10-9. What is the economically efficient output level?
Economists believe mergers can sometimes achieve greater efficiency than two companies that do not merge.
Answer the following statement true (T) or false (F)
In international trade the term "dumping" means
A. selling goods in a home market for a price less than on the foreign market. B. selling goods on the black market to avoid paying taxes. C. selling goods in a foreign market for a price less than on the home market. D. price discrimination by domestic producers.