A System Has One Service Facility That Can Service 10

question 29

True/False

A system has one service facility that can service 10 customers per hour. The customers arrive at a variable rate, which averages six per hour. Since there is excess capacity, no waiting lines will form.

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Definitions:

Specific Tariff

is a fixed fee imposed by a government on imported or exported goods, based on the quantity of the goods rather than their value.

Imported Good

A product or service that is brought into one country from another country for the purpose of sale or use.

Consumer Surplus

The difference between the total amount consumers are willing to pay for a good or service and the total amount they actually pay.

Producer Surplus

The difference between what producers are willing to accept for a good or service versus what they actually receive, indicating gains from trade.