Solved

Use the Following to Answer Questions

Question 122

Multiple Choice

Use the following to answer questions:
Figure: The Market for Gas Stations Use the following to answer questions: Figure: The Market for Gas Stations   -(Figure: The Market for Gas Stations)  The figure Market for Gas Stations shows curves facing a typical gas station in a large town. The market is characterized by many firms, differentiated products, easy entry, and easy exit. If the gas station shown here were to raise its price above the profit-maximizing price, the outcome would be _____ in total revenue. A)  a reduction B)  an increase C)  no change D)  Not enough information is given to answer the question.
-(Figure: The Market for Gas Stations) The figure Market for Gas Stations shows curves facing a typical gas station in a large town. The market is characterized by many firms, differentiated products, easy entry, and easy exit. If the gas station shown here were to raise its price above the profit-maximizing price, the outcome would be _____ in total revenue.


A) a reduction
B) an increase
C) no change
D) Not enough information is given to answer the question.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions