Use the Following to Answer Questions

question 263

Multiple Choice

Use the following to answer questions:
Figure: PPV
-(Figure: PPV) Look at the figure PPV, which shows the demand and marginal revenue for a pay-per-view football game on cable TV. Assume that the marginal cost and average cost are a constant $40. If the cable company is a single-price monopoly and maximizes profit, deadweight loss will be:

• A) $0.
• B) $45.
• C) $70.
• D) $90.

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Definitions:

International Slave Trade

refers to the historical trade of enslaved people across international borders, particularly from Africa to the Americas, from the 16th to the 19th century.

Constitution

The basic rules and long-standing customs by which a government or another entity operates.

South Carolina

A state in the southeastern United States, known for its historic cities, subtropical beaches, and as being a site of significant Civil War battles.

House Of Representatives

One of the two houses of the United States Congress, the lower house, responsible for making and passing federal laws.