At the current price of a good, Al's consumer surplus equals 8, and Ben's consumer surplus equals 15. By using two-part pricing, a monopolist could increase his profit by

The principle that the cost of something is equal to what is sacrificed to get it is known as the

A) reality principle. B) marginal principle. C) principle of opportunity cost. D) principle of diminishing returns.

All of the following are devices that governments can use to achieve a more efficient allocation of resources in the presence of external benefits EXCEPT

A) vouchers. B) private subsidies. C) marketable permits. D) public provision.