Multiple Choice
Robinson pays $100 for tickets to see his favorite sports team play. With 10 minutes left in the game, his team is losing heavily and has no chance of winning the game. Robinson chooses to stay until the end of game because he wants to get the full value for his admission price. As an economist, you should advise Robinson to:
A) stay until the end of the game since his intuition is correct
B) stay until the end of the game since he might be heckled on the way out
C) leave the game now if his marginal benefit of leaving is greater than marginal cost, since the admission price is a sunk cost
D) leave the game now since the line to exit the stadium is shorter now
Correct Answer:

Verified
Correct Answer:
Verified
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