Two Economists from Northwestern University Estimated the Benefit Households Received

question 147

Multiple Choice

Two economists from Northwestern University estimated the benefit households received from subscribing to broadband Internet service.They found that in the year they analyzed,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:

Informal Arrangements

Unofficial agreements or practices that are not formally documented, often relying on personal relationships or understandings.

Enterprise Resource Planning Systems Software

Integrated software applications that manage a company's processes in various departments such as finance, human resources, and logistics, facilitating information flow within an organization.

Supply Chain Management

The oversight and administration of the entire process of producing and delivering a final product to the end user, from supplier to manufacturer to wholesaler to retailer to consumer.

Time-Based Management

An approach focusing on reducing the time needed to complete processes and tasks, thereby improving productivity and efficiency.