Which of the following statements best describes the relationship between asset prices and average expected returns?
A. More risky assets will have similar prices as less risky assets
B. Less risky assets will have lower prices than more risky assets
C. Less risky assets will have higher prices than more risky assets
D. More risky assets will have higher prices than less risky assets
C. Less risky assets will have higher prices than more risky assets
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When does a monopolistic competitor earn positive economic profits in the short run?
What will be an ideal response?
Roxie's Movie Theatre has a monopoly and discovers that at $12 a movie, no one is buying movie tickets during weekdays. Roxie's conducts a survey and the table above reveals the results of the survey
Roxie decides to price discriminate between weekend and weekday moviegoers. The marginal cost of a showing a movie is $6. Roxie's charges ________ on weekdays and ________ on weekends. A) $9; $12 B) $6; $15 C) $6; $18 D) $3; $12