Suppose the Market Demand Curve for Hourly Dial-Up Internet Service

question 106

Multiple Choice

Suppose the market demand curve for hourly dial-up internet service is completely elastic.At the market equilibrium price under perfect competition,the consumer surplus in this market equals:

• A)total consumer expenditures.
• B)total sales revenue.
• C)zero.
• D)an amount slightly more than total consumer expenditure.

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Definitions:

Adverse Effect

A negative impact or harm that is caused by an action or event.

Material Effect

An impact significant enough to influence a decision, action, or the outcome of a situation, often used in legal and financial contexts.

Misrepresentation

The act of providing false, misleading, or inaccurate information with the intent to deceive or mislead.

Mistake

In legal terms, an erroneous belief, at contracting, that certain facts are true.