In the Hotelling model of spatial competition, profits arise ...

[Marty]

In the Hotelling model of spatial competition, profits arise from:
 a. monopoly power.
  b. rents based on locational advantage.
  c. the ability to price discriminate.
  d. increasing returns to scale.

Question 2

Which firm is not dealing with adverse selection
 a. a manufacturer requires a 90 day probationary period for new employees
  b. a temporary clerical agency requires a typing test
  c. a manufacturer requires suppliers to be ISO 900 . certified
  d. Smokers get the same life insurance rates as non-smokers

[tuate]

Answer to Question 1

b

Answer to Question 2

d

[Marty]

Thanks for the timely response, appreciate it

[mcabuhat]

Great answer, keep it coming