The three concepts of optimal capacity utilization are:
a. optimal plant size for a given output rate
b. optimal cost of manufacturing
c. optimal plant size
d. optimal output for a given plant size
e. all of these except b
f. all of these except c
Question 2
The problem of double marginalization is
a. The retail price being too low due to an exclusion of both manufacturer and retailer markup
b. The retail price being too high due to an inclusion of manufacturer markup
c. The retail price being too high due to an inclusion of both manufacturer and retailer markup
d. The retail price being too high due to an exclusion of retailer markup
