Author Question: The opportunity cost of investing in a new lithotripter (a machine that pulverizes kidney stones ... (Read 6457 times)

Sufayan.ah · **on:** Jul 1, 2018

The opportunity cost of investing in a new lithotripter (a machine that pulverizes kidney stones with sound waves) is
a. defined by the dollar cost of the equipment.
b. the same for every health care provider.
c. measured by the difference between the expected revenues from selling the services of the lithotripter and the invoice cost of the machine.
d. defined by the next best use of the money invested in the equipment.
e. impossible to calculate.

Question 2

All of the following are problems associated with maintaining a cartel except that:
a. cartels are illegal.
b. a large amount of information is needed to coordinate a cartel.
c. profits are not maximized by a cartel so it will evolve into a monopoly.
d. each member of the cartel has an incentive to chisel by expanding output.