China Is a Monopoly Supplier of Pandas to the World's

question 5

Multiple Choice

China is a monopoly supplier of pandas to the world's zoos and rents out a pair of pandas for $1 million a year.As a monopolist,what must China do if it wants to rent out more pairs of pandas?

• A)Increase the price.
• B)Decrease the price.
• C)Keep the price the same.
• D)Allow international zoos to breed pandas and keep them.
• E)Breed more pandas in China and rent them at the same price.

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Definitions:

Dependent Events

Events whose occurrence or outcome is influenced by another event happening.

Mutually Exclusive

Two events that cannot occur simultaneously, meaning the occurrence of one event excludes the possibility of the other.

P(A)

The probability of event A occurring, in the context of all possible outcomes.

P(B)

The probability of event B occurring in a statistical experiment.