News Article: "The high cost of college textbooks, explained"

Link: https://www.vox.com/the-goods/2019/3/6/18252322/college-textbooks-cost-expensive-pearson-cengage-mcgraw-hill?fbclid=IwAR3ziAER7gy2ZhwA9oi3KZiZ6u-nLuKw9rZAxFgbvQpMHdCRjWLmoZDEVsE

Please answer the following questions with a short explanation for each question.

How would you categorize student demand for textbooks?

Perfectly Price-Elastic

Price-Elastic

Perfectly Price-Inelastic

1. Price in-elastic

How has the arrival of textbook rental sites like Scribd, Chegg, or Textbook Rush and low/no cost textbooks affected the market power of the major book publishers?

Market power has declined as publishers have more competition

Market power has increased because students remain a captive market

Market power has declined as students cannot afford textbooks

1. Both and c.

How has the arrival of textbook rental sites like Scribd, Chegg, or Textbook Rush and low/no cost textbooks affected the price elasticity of demand for textbooks from the major book publishers?

1. The price elasticity of demand for textbooks from major book publishers has become more elastic

The price elasticity of demand for textbooks from major book publishers has become more inelastic

The price elasticity of demand for textbooks from major book publishers has become perfectly price elastic

The price elasticity of demand for textbooks from major book publishers has become perfectly price inelastic

Which type of market structure most closely describes the textbook market?

Monopoly

Perfect Competition

Monopolistic Competition

1. Oligopoly

If Cengage is the only major publisher to offer subscription services, what will likely happen to the remaining major publisher's profits?

They are likely to increase

1. They are likely to decrease

They are likely to stay the same

None of the above

Given that it takes time to develop free, open source textbooks, which economic concept best explains why professors might not choose to develop these resources.

Elasticity

Perfect competition

1. Opportunity cost

Oligopoly