In 2007,the National Collegiate Athletic Association put a moratorium on new Football Bowl Series (formerly Division IA)teams.This policy will
A) protect the producer surplus of existing football programs.
B) ensure that when entry occurs, producer surplus will not be zero.
C) ensure that when entry occurs, producer surplus will be positive.
D) ensure that consumer surplus is greater in the future.

Question

Quizplus · Accepted Answer

The moratorium on new Football Bowl Series teams by the NCAA in 2007 is aimed at protecting the producer surplus of existing football programs by limiting competition. This helps maintain or potentially increase the financial benefits and market share for current teams.

In 2007,the National Collegiate Athletic Association Put a Moratorium on New