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Author Question: Price cap regulation improves cost control incentives relative to rate-of-return regulation. ... (Read 116 times)

HCHenry

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on: Jul 1, 2018
Price cap regulation improves cost control incentives relative to rate-of-return regulation.
 
  Indicate whether the statement is true or false

Question 2

____________ is the process of making a choice between two or more alternatives.
 
  a. Bargaining
  b. Trading
  c. Decision making
  d. Goal setting


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stillxalice

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Reply #1 on: Jul 1, 2018
Answer to Question 1

T The price cap comes from outside the firm, and because anything it can do to improve its profit will lead to gains it can keep, the firm has more cost control incentive.

Answer to Question 2

C


HCHenry

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Reply 2 on: Jul 1, 2018
Thanks for the timely response, appreciate it

strudel15

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Reply 3 on: Yesterday
Great answer, keep it coming :)

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