A certain sports team facing a downward sloping demand curve for tickets to its games sets a
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Question:
A certain sports team facing a downward sloping demand curve for tickets to its games sets a single price for them and does not price discriminate. The city imposes a binding price ceiling on this teams's ticket prices. This decision by the city.
a. Could lower ticket prices to consumer
b. could reduce the DWL associated with this team's monopoly power.
c. Both a and b
d. Neither a nor b is true
I think answer is "C" please check this
Thank you
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