Before the Breakup of AT&T Several Years Ago, Profits on Long-Distance

question 37

Multiple Choice

Before the breakup of AT&T several years ago, profits on long-distance calls offset losses on basic residential service.This practice is known as

• A)abuse of monopolistic power.
• B)cream skimming.
• C)cross-subsidization.
• D)the Ramsey rule.

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Definitions:

Relativistic Thinking

The cognitive ability to understand that knowledge and viewpoints can be relative and dependent on the context.

Autonomous Judgment

The ability to make decisions independently, based on one’s own reasoning and values.

Dualistic Thinking

A cognitive tendency to see situations and issues in black and white, categorizing concepts as either/or without acknowledging complexities.

Relativistic

Pertaining to the concept that points of view have no absolute truth or validity, having only relative, subjective value according to differences in perception and consideration.