Author Question: For most residential telephone service, people pay a monthly fee to have a hookup to the telephone ... (Read 121 times)

Garrulous · **on:** Jul 1, 2018

For most residential telephone service, people pay a monthly fee to have a hookup to the telephone company's line plus a fee for each call actually made. Under this pricing scheme, the telephone company is using

A) limit pricing.
B) a two-part tariff.
C) second-degree price discrimination.
D) two stage price discrimination.

Question 2

A situation in which the unregulated competitive market outcome is inefficient because prices fail to provide proper signals to buyers and sellers is known as:

A) an imperfectly competitive market.
B) a market failure.
C) a deadweight loss.
D) a disequilibrium.