Consider a College That Has Only Ever Had One On-Campus

question 41

Multiple Choice

Consider a college that has only ever had one on-campus bookstore.Over the last two years you have observed that book prices are 20% lower.You conclude that

• A) the cost of producing books must have fallen.
• B) the college ordered the bookstore to lower prices.
• C) competition from online stores has encouraged the bookstore to behave as an insecure monopolist.
• D) fewer students are opting to buy books and supply has decreased.

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Definitions:

Restrictive Health

Policies or practices designed to restrict or control the availability of medical treatments, procedures, or resources, often for regulatory or budgetary reasons.

Export Subsidies

financial support from governments to domestic companies for the purpose of promoting goods for export, aimed at increasing competitive advantage on the global stage.

Free Trade Agreement

A pact between two or more nations to reduce barriers to imports and exports among them by eliminating tariffs and import quotas.

Mexican Consumers

Individuals or households in Mexico that purchase goods and services for personal use.