Suppose Always There Wireless serves 100 high-demand wireless consumers, who each have a monthly demand curve for wireless minutes of QdH = 200 - 100P, and 300 low-demand consumers, who each have a monthly demand curve for wireless minutes of QdL = 100 - 100P, where P is the per-minute price in dollars. The marginal cost is $0.25 per minute. Suppose Always There Wireless charges $0.35 per minute. How many minutes will high-demand consumers purchase?

To solve the principle agency problem, which of the following questions should you ask a. Who is making the bad decision?

b. Does the decision maker have all the relevant information? c. Does the decision maker have the incentive to make the right decision? d. All of the above

In the calculation of the CPI, books are given greater weight than magazines if

a. consumers buy more books than magazines. b. the price of books is higher than the price of magazines. c. it costs more to produce books than it costs to produce magazines. d. books are more readily available than magazines to the typical consumer.