A perfectly inelastic demand curve indicates that
a. a producer can sell as many units as desired at the market price but no units above the market price.
b. for a given percent change in price, the quantity demanded rises by the same percentage.
c. price has no effect on the quantity demanded.
d. the percent change in price is less than the percent change in quantity demanded.
C
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Marginal utility is defined as:
a. the extra satisfaction the consumer receives from an extra $1 of income. b. the total level of satisfaction a consumer receives upon the consumption of a certain number of goods. c. the number of hours a consumer would be willing to work to receive a certain product. d. the extra satisfaction a person derives from consuming an additional unit of a good. e. a comparison of the utility a good provides with the price of that good.
In order to fund industrywide advertising, managers of trade associations often try to charge the members that receive a lower marginal benefit from advertising ________.
A) a high fee B) the total cost of the advertising C) nothing D) a lower fee