Suppose that Rihanna sells 1,000 tickets to a concerts at $480 each. If the equilibrium price is $600 per ticket for a fixed supply of 1,000 tickets, what is the value of the additional economic rent that Rihanna could earn if she charged the market
clearing price?
A) $1,080,000
B) $120,000
C) $600,000
D) $480,000
Answer: B
You might also like to view...
Refer to the accompanying figure. As the production of pizza increases, the opportunity cost of producing pizza:
A. becomes negative. B. doesn't change. C. decreases. D. increases.
Toby sells wheat in a perfectly competitive market. The demand curve for Toby's wheat is:
A. horizontal. B. vertical. C. downward sloping. D. U-shaped.
Which legislative act provided for the industrial regulation of the railroad industry by the Federal government?
A. Interstate Commerce Act B. Railway Labor Act C. Sherman Act D. Clayton Act
In countries such as El Salvador or Ghana, tax revenue is extremely limited due to the lack of an adequate tax-collection agency. These countries most likely will issue bonds and sell them to the central bank in order to cover government expenditures. Thus, the lack of:
A. well-developed bond markets may lead these economies to inflation and poor economic performance. B. a banking system may lead these economies to inflation and poor economic performance. C. government intervention may lead these economies to inflation and poor economic performance. D. property rights and laws may lead these economies to inflation and poor economic performance.