Tim Has Just Inherited a Signed Wayne Gretzky Hockey Jersey,which

question 65

Multiple Choice

Tim has just inherited a signed Wayne Gretzky hockey jersey,which he would like to sell.His reservation price for the jersey is $500,and he can either place an ad in the local newspaper for $10 or sell the jersey on eBay,which will charge him 5% of the selling price.The local buyer with the highest reservation price is willing to pay $750 at most,while the two eBay bidders with the highest reservation prices are willing to pay $1,200 and $1,000,respectively.(Note that,in an eBay auction,the bidder with the highest reservation price wins,and the price paid is the reservation price of the second-highest bidder. )
-Refer to the information above.If Tim advertises his jersey in the local newspaper and sells it to the local buyer with the highest reservation price,the total surplus to both Tim and the winning bidder will be

• A) $240.
• B) $490.
• C) $500.
• D) $740.
• E) $750.

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Definitions:

Seasonal Affective Disorder

A type of depression related to changes in seasons, beginning and ending at about the same times every year, often in winter.

Subcoerulear Nucleus

A region in the brainstem involved in the modulation of pain and possibly other alert state functions.

Magnocellular Nucleus

A part of the brain involved in processing visual information, specifically contrasting and moving stimuli, located in the lateral geniculate body.

Peribrachial Area

A region near or around the brachial plexus, often involved in the processing of sensory information or pain.