Question
A local Pilates studio recently began offering a monthly subscription service for its patrons. Suppose a particular patron at this studio has the following willingness-to-pay
A local Pilates studio recently began offering a monthly subscription service for its patrons.
Suppose a particular patron at this studio has the following willingness-to-pay schedule, per session.
SessionWillingness to Pay1st$912nd$783rd$654th$525th$396th$26Suppose this consumer would not demand any more sessions, even for free. Also assume that the marginal cost to the studio, per session, is constant at $13.
At a price of $71.50 per session, the number of sessions demanded by this consumer would be. At this price and quantity, consumer surplus isand producer surplus is.
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