Suppose the demand function for cable TV service is given by QCTV = 15 - 0.25 × PCTV + 0.0005 × M + 0.3 × PSTV,QCTV is the quantity of cable TV demanded (thousands of households) ,PCTV is the price of cable TV,M is income and PSTV is the price of satellite TV service.Suppose consumers' income is $50,000 and the price of satellite TV service is $90.How many households would demand cable TV if it were free?
A) No households
B) 15,000 households
C) 67,000 households
D) Every household would demand cable TV if it were free.
Correct Answer:
Verified
Q2: Refer to Figure 2.1.A movement from point
Q3: Suppose the demand function for cable TV
Q4: Suppose the demand function for cable TV
Q5: The effect of an increase in the
Q6: Refer to Figure 2.1.A movement from point
Q7: Suppose the demand function for cable TV
Q8: Suppose the demand function for cable TV
Q9: A product's _ shows how much sellers
Q10: An increase in the price of a
Q11: Two products are complements if:
A) a decrease
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