This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Rate of return regulation, as currently applied to many natural monopolies such as public utilities, ... (Read 86 times)

RODY.ELKHALIL

  • Hero Member
  • *****
  • Posts: 591
on: Jun 29, 2018
Rate of return regulation, as currently applied to many natural monopolies such as public utilities,
 
  A) generally involves the use of price caps.
  B) gives the firms an incentive to inflate their costs.
  C) gives the firms an incentive to cut their costs as much as possible.
  D) generally keeps their prices higher than if they were unregulated monopolists.

Question 2

What does the income elasticity of demand measure? How is it calculated?
 
  What will be an ideal response?


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

joanwhite

  • Sr. Member
  • ****
  • Posts: 308
Reply #1 on: Jun 29, 2018
Answer to Question 1

B

Answer to Question 2

The income elasticity of demand measures the responsiveness of demand to changes in income. It is calculated by dividing the percentage change in quantity demanded by the percentage change in income.


RODY.ELKHALIL

  • Member
  • Posts: 591
Reply 2 on: Jun 29, 2018
:D TYSM

connor417

  • Member
  • Posts: 329
Reply 3 on: Yesterday
Great answer, keep it coming :)

« previous next »
 

Did you know?

Pubic lice (crabs) are usually spread through sexual contact. You cannot catch them by using a public toilet.

Did you know?

Pink eye is a term that refers to conjunctivitis, which is inflammation of the thin, clear membrane (conjunctiva) over the white part of the eye (sclera). It may be triggered by a virus, bacteria, or foreign body in the eye. Antibiotic eye drops alleviate bacterial conjunctivitis, and antihistamine allergy pills or eye drops help control allergic conjunctivitis symptoms.

Did you know?

Congestive heart failure is a serious disorder that carries a reduced life expectancy. Heart failure is usually a chronic illness, and it may worsen with infection or other physical stressors.

Did you know?

Nearly 31 million adults in America have a total cholesterol level that is more than 240 mg per dL.

Did you know?

Stroke kills people from all ethnic backgrounds, but the people at highest risk for fatal strokes are: black men, black women, Asian men, white men, and white women.

Three principle forms of natural selection: (a) stabilizing selection, (b) directional selection, an Three principle forms of natural selection: (a) stabilizing selection, (b) directional selection, an
Increasing Costs of Natural Disasters Increasing Costs of Natural Disasters
Structural similarities between antimetabolites and their natural counterparts Structural similarities between antimetabolites and their natural counterparts
Selected Natural Products Selected Natural Products
Checking the 5 volt reference from the computer being applied to the TP sensor with the ignition ... Checking the 5 volt reference from the computer being applied to the TP sensor with the ignition ...
Earth scientists have devised a scheme to divide the planet’s natural history into distinct time ... Earth scientists have devised a scheme to divide the planet’s natural history into distinct time ...
Video: Cellular defenses (natural killer cells, phagocyte types & process of phagocytosis)

For a complete list of videos, visit our video library