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Computer Software That You Can Download from the Internet for a Price

question 18

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Computer software that you can download from the Internet for a price is an artificially scarce good because it is _____ but _____ in consumption.


Definitions:

Total Revenue

The total income a firm receives from selling its products or services, calculated by multiplying the price per unit by the number of units sold.

Marginal Cost

Is the cost of producing one additional unit of a good or service.

Least-cost Combination

An optimal mix of inputs that minimizes the cost of production while yielding a given level of output.

Net Gain

The difference between total revenues and total expenses, indicating the financial profitability of a transaction or activity.

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