Suppose There Is Only One Movie Theatre in a Town

question 100

Multiple Choice

Suppose there is only one movie theatre in a town and the equilibrium price and quantity for movie admissions is $7 and 940 visits per week.Now suppose the government imposes a tax of $3 per movie admission,and the new equilibrium price and quantity are $8.75 and 750 visits per week.What is the weekly excess burden of this tax?

• A)$285
• B)$1312.50
• C)$570
• D)$2250
• E)There is not enough information to know.

Identify the conditions under which a bailee can limit their liability for loss or damage.

Analyze the rights and responsibilities involved in various bailment situations.

Assess the legal consequences of actions taken by parties in a bailment relationship.

Explain the significance of exculpatory clauses and their enforceability.

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Definitions:

Information-Processing Approach

The information-processing approach is a cognitive psychology theory that likens human thought processes to that of a computer, focusing on the way information is encoded, stored, and retrieved.

Qualitative

Pertaining to descriptions or distinctions based on qualities rather than on quantity or numerical measurements.

Assimilation

The process by which individuals or groups adopt the culture, practices, and perspectives of another group, often losing their original identity.

Accommodation

In psychology, the process of adjusting one's cognitive structures to incorporate new information; in general usage, making suitable arrangements or adjustments.