Two Economists from Northwestern University Estimated the Benefit Households Received

question 134

Multiple Choice

Two economists from Northwestern University estimated the benefit households received from subscribing to broadband Internet service. They found that in 2006,47 million consumers paid an average of $36 per month to subscribe to a broadband Internet service,and estimated the value of total consumer surplus for these subscribers was equal to $890.5 million.Based on these numbers,what was the average monthly consumer surplus per subscriber for broadband Internet service?

• A) $0.05
• B) $0.77
• C) $13.06
• D) $18.95

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Definitions:

Dodecahedron

A polyhedron with twelve flat faces, each face being a pentagon.

Cubic

A common arrangement of atoms in a mineral or the tendency for a mineral to break along three perpendicular planes.

Perpendicular Directions

directions at right angles (90 degrees) to each other.

Nonperpendicular Directions

Directions or orientations that are not at a right angle (90 degrees) to a baseline or reference point.