If a boxing fight is shown on pay-per-view television every Saturday at 4pm, the demand curve for each fight is given below.
If the regulated pay-per-view charge to watch a fight were $15 per household, then ______ households would watch the fight, and the loss is total economic surplus would be ______ relative to when there is no charge to watch the fight.
A) 10 million; $25 million
B) 20 million; $225 million
C) 20 million; $25 million
D) 10 million; $225 million
Correct Answer:
Verified
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