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Disneyland Has Two Possibilities for Pricing Rides at Its Theme

Question 33

Short Answer

Disneyland has two possibilities for pricing rides at its theme parks: (1)Set MR = MC for each ride and charge the maximum price consumers will bear.(2)Charge an admission fee to the theme park but allow unlimited rides for free.Using graphs, show which pricing scheme is more profitable for Disneyland.

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(2)is more...

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