One In the News article in the text titled "The Real March Madness: Ticket Prices " described how professional scalpers use the Internet to sell hard-to-get tickets to concerts and sporting events.When scalpers resell tickets at prices closer to equilibrium,
A)A market shortage is made larger,and the scalpers reap a profit.
B)A market shortage is made smaller,and the scalpers reap a profit.
C)A market shortage is made larger,and the original sellers reap a profit.
D)A market surplus is made smaller,and the scalpers reap a profit.

Question

Quizplus · Accepted Answer

When scalpers resell tickets at prices closer to equilibrium, it means that they are reducing the difference between the market price and the equilibrium price. This will make the market shortage smaller because more buyers will be able and willing to pay the closer price. The scalpers will still reap a profit because they buy the tickets at the original market price and sell them at a higher price closer to equilibrium.

One in the News Article in the Text Titled "The