See the information in Scenario 4.4. Suppose P = 10, Pc = 100, Pd ...

[littleanan]

See the information in Scenario 4.4. Suppose P = 10, Pc = 100, Pd = 2, A = 5, and I = 50. What is the cross-price elasticity of Rock and Roll Trivia programs and diskettes?
 
  A) -1/90
  B) 0
  C) 1/90
  D) 1
  E) none of the above

Question 2

Suppose MRTS is not the same across all producers. In this case, the economic outcome is not fully efficient because:
 
  A) exchange is inefficient.
  B) the use of inputs in production is inefficient.
  C) the mix of outputs in inefficient.
  D) none of the above

[cupcake16]

Answer to Question 1

A

Answer to Question 2

B