Assume That the Supply Curve Is Horizontal Because Marginal Cost

question 69

Multiple Choice

Assume that the supply curve is horizontal because marginal cost is constant at $10.John,Robert,and Jimmy each value one compact disc at $20 but only Jimmy and John value a second compact disc (Jimmy at $5 and John at $15) .The maximum possible value achieved in this market is

• A) $35.
• B) $60.
• C) $75.
• D) $80.

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Definitions:

Summer Season

The warmest period of the year, typically occurring between June and August in the northern hemisphere.

Empathetic Suggestion

Offering advice or recommendations by understanding and sharing the feelings of another person.

Ideal-Self Suggestion

A method that encourages individuals to envision a better version of themselves to motivate behavioral change or decisions.

Direct Suggestion

Direct suggestion is a sales technique where a seller explicitly recommends a specific product or service to a potential buyer.