A Profit-Maximizing Monopolist Employing a Two-Part Tariff on Consumers Having

question 32

Multiple Choice

A profit-maximizing monopolist employing a two-part tariff on consumers having different demands,_____.

• A)should simply set price to maximize total revenue
• B)should charge a single price,with no entry fee,like a regular monopolist
• C)should set price equal to average cost plus a constant profit margin
• D)does not have a clearly defined profit-maximizing pricing scheme

---

Definitions:

Imaginary Symptoms

Symptoms reported by an individual that have no physical basis in reality, often psychological in origin.

Moral Treatment

A therapeutic approach from the 19th century aiming at improving the lives of the mentally ill through humane treatment, social interaction, and focusing on individual moral and spiritual development.

Psychological Disorders

Mental disorders characterized by patterns of behavior or psychological symptoms that impact multiple life areas and/or cause significant distress.

Philippe Pinel

A French physician recognized for his pioneering work in the treatment of the mentally ill, emphasizing humane approaches over confinement and brutality.