Author Question: If regulators of the local gas and water utility companies require those firms to price their ... (Read 104 times)

maegan_martin

  • Hero Member
  • *****
  • Posts: 532
If regulators of the local gas and water utility companies require those firms to price their service at marginal cost
 
  A) there would be a deadweight loss in their markets.
  B) the firms might require a tax-financed subsidy to survive.
  C) their customers would enjoy no consumer surplus.
  D) None of the above answers are correct.

Question 2

In the above table, if the market is perfectly competitive and unregulated, at the equilibrium output level
 
  A) marginal private cost equals the marginal private benefit.
  B) marginal private cost is less than the marginal private benefit.
  C) marginal social cost equals the marginal private benefit.
  D) marginal social cost is greater than the marginal private benefit.



AISCAMPING

  • Sr. Member
  • ****
  • Posts: 347
Answer to Question 1

B

Answer to Question 2

A



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
 

Did you know?

When intravenous medications are involved in adverse drug events, their harmful effects may occur more rapidly, and be more severe than errors with oral medications. This is due to the direct administration into the bloodstream.

Did you know?

Children with strabismus (crossed eyes) can be treated. They are not able to outgrow this condition on their own, but with help, it can be more easily corrected at a younger age. It is important for infants to have eye examinations as early as possible in their development and then another at age 2 years.

Did you know?

The use of salicylates dates back 2,500 years to Hippocrates’s recommendation of willow bark (from which a salicylate is derived) as an aid to the pains of childbirth. However, overdosage of salicylates can harm body fluids, electrolytes, the CNS, the GI tract, the ears, the lungs, the blood, the liver, and the kidneys and cause coma or death.

Did you know?

Tobacco depletes the body of vitamins A, C, and E, which can result in any of the following: dry hair, dry skin, dry eyes, poor growth, night blindness, abscesses, insomnia, fatigue, reproductive system problems, sinusitis, pneumonia, frequent respiratory problems, skin disorders, weight loss, rickets, osteomalacia, nervousness, muscle spasms, leg cramps, extremity numbness, bone malformations, decayed teeth, difficulty in walking, irritability, restlessness, profuse sweating, increased uric acid (gout), joint damage, damaged red blood cells, destruction of nerves, infertility, miscarriage, and many types of cancer.

Did you know?

More than 20 million Americans cite use of marijuana within the past 30 days, according to the National Survey on Drug Use and Health (NSDUH). More than 8 million admit to using it almost every day.

For a complete list of videos, visit our video library