1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
velikii [3]
3 years ago
8

Nick and Teresa are debating the pricing strategy of several airlines. Nick argues, "When airlines restrict discounted tickets t

o people who book well in advance and stay over on a Saturday, it is not price discrimination, because the restrictions have nothing to do with individual buyers' willingness to pay." However, Teresa says, "The airlines' stay-over restrictions are a form of price discrimination, because they roughly split the market into two separate groups that are willing to pay two different amounts. Economists generally agree with Eric or Kate?
Business
1 answer:
Scilla [17]3 years ago
5 0

Answer:

Nick and Teresa are debating the pricing strategy of several airlines. Nick argues, "When airlines restrict discounted tickets to people who book well in advance and stay over on a Saturday, it is not price discrimination, because the restrictions have nothing to do with individual buyers' willingness to pay." However, Teresa says, "The airlines' stay-over restrictions are a form of price discrimination, because they roughly split the market into two separate groups that are willing to pay two different amounts. Economists generally agree with Eric or Kate?

Economists would agree with Teresa.

Explanation:

Generally, economists would agree with Teresa because her argument is correct since by using stay over on a Saturday restriction, Airlines can divide the market based on their readiness to pay and is thus able to tap both markets.

You might be interested in
Bill Buckely has​ split-limit 50​/100​/20 automobile liability insurance on his 2012 Subaru. Driving home from work in a​ snowst
iren2701 [21]

Answer: The answer is given below

Explanation:

It should be noted that the split limits approach is used by several auto insurance policies and this simply combines per person and occurrence approach.

For every accident, three dollars amount are being applied. The first limit is simply a per person limit which is the maximum amount that one injured person will get. The second limit is simply the per occurrence limit which is the maximum amount that all the injured persons will get while the third limit applies during the claim of property damage as it is the maximum amount that will be paid for damages by an insurer to property that results from the accident.

since the split is 50/100/20, it implies that $50,000 medical coverage for every injured person, $100,000 injury coverage for all accident victims and then $20,000 for property damage.

1. Bill's insurance company will pay $20000.

2. Amount Bill will pay:

= ​$17,603​ + ​$3,136​ + ​$9,659 - $20,000

= $30,398 - $20,000

= $10,398

7 0
3 years ago
List at least four investment alternatives.
Ierofanga [76]
Four investment alternatives are hedge funds, futures, stocks, and bonds. If you are looking for more: mutual funds, annuities, and real estate are others.
5 0
3 years ago
Read 2 more answers
Why can’t businesses afford all of the factors of production all of the time?
gtnhenbr [62]

Answer:

ptaa ni...xdxdxdxdxd

6 0
2 years ago
Read 2 more answers
(ASAP NEED THIS NOW!)
ra1l [238]

Answer:

B. Cable Television

Explanation:

I'm pretty sure its right sorry if its not

8 0
3 years ago
Read 2 more answers
ring its first five years of operations, Della Manufacturing reports net income and pays dividends as follows. Year Net Income D
miv72 [106K]

Answer: See explanation

Explanation:

The retained earnings will be calculated as:

= Begining retainers earnings + Net income - Dividend.

Year 1:

Retained earning = 0 + 2000 - 1700

= 300.

Year 2:

Retained earning = 300 + 2600 - 1600

= 1300

Year 3:

Retained earning = 1300 + 2600 - 2200

= 1700

Year 4:

Retained earning = 1700 + 5900 - 2900

= 4700

Year 5:

Retained earning = 4700 + 8800 - 3100

= 10400

3 0
3 years ago
Other questions:
  • The city wants to pave the road in front of Sam Smith's house. Sam has 110 front feet. The cost to pave is $35 a linear foot and
    6·1 answer
  • If a housing boom occurs in the United States the demand for carpenters will likely ?
    12·1 answer
  • The mayor gave the winner a blue ribbon which kind of complement is the word in bold
    7·2 answers
  • Bobaflex Corporation has ending inventory of $707,373 and cost of goods sold for the year just ended was $8,513,213. What is the
    10·1 answer
  • On July 1, 2017, Lopez Company paid $1,200 for six months of insurance coverage. No adjustments have been made to the Prepaid In
    12·1 answer
  • True or False: If a firm changes its credit policy and allows customers to pay in 90 days instead of 60 days, and everything els
    13·1 answer
  • Which of the following is necessary to create an agency relationship? a. consideration b. an agent with contractual capacity c.
    11·1 answer
  • On January 1, 2021, Bombay Corporation signed a five-year noncancelable lease for equipment. The terms of the lease called for B
    14·1 answer
  • In accrual basis accounting, revenue is recorded when the seller ______.
    11·1 answer
  • ICS Fullscreen GC BMC KNOWLEDGE CHECK Outline Trans Below is a chart illustrating global trade patterns in 2018. Which of the fo
    15·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!