The "cap" in cap-and-trade refers to a quantity limit on pollution.

a.False

b.True

Zenon Corporation operates in a network industry and charges existing customers $9.99 per month for its services, but it offers new customers who sign a three-year contract six months of service for $1 per month. This new customer offer is known as

a.a lock-out strategy.

b.market segmentation.

c.a teaser strategy.

d.product differentiation.

An increase in supply leads to an increase in price for a small network with a fixed capacity and a decrease in price for a non-network good.

a. true

b. false

The Internet created a rise in the importance of network goods.

a. true

b. false

ages for union workers are between _____ and _____ higher than wages for nonunion workers.

a.5%; 10%

b.20%; 25%

c.10%; 20%

d.25%; 35%

(Figure: Labor Monopsony) The monopsony in the input market (as shown in the graph), which is also a competitive firm in the product market, would hire _____ workers.