The Figure Above Shows the Market for Pizza

question 172

Multiple Choice

The figure above shows the market for pizza.
-In the figure above,if pizza production is restricted to 5,000 pizzas a day,the deadweight loss is

• A) $45,000 per day.
• B) $12,500 per day.
• C) $22,500 per day.
• D) $90,000 per day.
• E) zero.

---

Definitions:

Situation Assessment

An evaluation of the current state or conditions affecting a scenario or decision-making process.

Value Chain

A model that describes the full range of activities needed to create a product or service, from conception through distribution and after-sales service.

Overall Strategy

A comprehensive plan that outlines an organization's major goals and how it plans to achieve them over a long period.

Primary Activities

Activities in the value chain that are directly involved in the creation of a product or service, transformation, delivery, and after-sales service.