(Figure: Producer Surplus II) Consumer Surplus Under Single-Price Monopoly and Under

question 137

Multiple Choice

(Figure: Producer Surplus II) Consumer surplus under single-price monopoly and under block pricing are _____ and _____, respectively.

• A) $62.50; $82.50
• B) $62.50; $40
• C) $80; $120
• D) $80; $112.50

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Definitions:

Payroll Tax

Taxes imposed on employers and/or employees, calculated as a percentage of the salaries that employers pay their staff.

Kantian Ethics

Kantian Ethics is a moral philosophy based on the work of Immanuel Kant, emphasizing that moral actions are those performed out of duty and guided by universalizable principles.

Deontology

An ethical theory that evaluates the morality of actions based on the adherence to defined rules or duties, regardless of the action's outcomes.

Utilitarianism

A philosophical theory that proposes actions are right if they are useful or for the benefit of a majority.