Suppose All Individuals Are Identical,and Their Monthly Demand for Internet

question 65

Multiple Choice

Suppose all individuals are identical,and their monthly demand for Internet access from a certain leading provider can be represented as p = 5 - (1/2) q where p is price in $ per hour and q is hours per month.The firm faces a constant marginal cost of $1.Potential consumer surplus equals

• A) $4.
• B) $8.
• C) $16.
• D) $32.

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Definitions:

Employee Leasing

The practice of hiring workers through a third-party organization which handles various HR tasks such as payroll and benefits administration.

WARN Act

The Worker Adjustment and Retraining Notification Act that requires employers to provide notice in advance of certain plant closings and mass layoffs.

Employee Leasing

A staffing arrangement where a leasing firm hires and manages employees, then contracts them out to work for another company, effectively outsourcing the HR functions.

Voluntary Early Retirement

A program offered by employers allowing employees to retire earlier than the traditional retirement age, often with full or partial benefits.