If the popular television show The Bachelor is shown on pay-per-view television every Monday at 9pm, then the demand curve for each episode is given below.
If the regulated pay-per-view charge is decreased from $20 to $0 per household, what would be the gain in total economic surplus?
A) $4,000 million
B) $320 million
C) $1,280 million
D) $720 million
Correct Answer:
Verified
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