A local restaurant offers an all-you-can-eat salad bar for 3.49. However, with any sandwich, a customer can add the all-you-can-eat salad bar for 1.49. This is an example of
A) peak-load pricing.
B) second-degree price discrimination.
C) a two-part tariff.
D) tying.
E) none of the above
Question 2
Which of the following is NOT true about price floors?
A) Consumer surplus is always lower than it would be in the competitive equilibrium.
B) Producer surplus could be lower, higher, or the same as it would be in competitive equilibrium.
C) Producer surplus could be negative as the result of a price floor.
D) Producers will often respond to a price floor by cutting production to the point at which price equals marginal cost.
E) The total producer surplus depends on how producers respond to the price floor in determining their output level.
Stuffed Jackalope in restaurant near Death Valley
Selected Local Anesthetics
Local Winds
How a local anesthetic blocks nerve conduction.
Composed Salad Dish
Farmers’ markets provide fresh, local produce to consumers