Assume standard downward sloping demand for subways rides. At a per-trip price of $4, you take 30 trips per month. Alternatively, you can purchase a monthly pass whose price is $120 for unlimited rides. If you purchased the monthly pass, you _____ consumer surplus as if you paid $4 per ride and you would take _____ trips. A. get the same; the same number of. B. get the same; more. C. get more; more. D. get more; the same number of. E. might get more or less; the same number
Assume standard downward sloping demand for subways rides. At a per-trip price of $4, you take 30 trips per month. Alternatively, you can purchase a monthly pass whose price is $120 for unlimited rides. If you purchased the monthly pass, you _____ consumer surplus as if you paid $4 per ride and you would take _____ trips. A. get the same; the same number of. B. get the same; more. C. get more; more. D. get more; the same number of. E. might get more or less; the same number
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Q)Assume standard downward sloping demand for subways rides. At a per-trip price of $4,
you take 30 trips per month. Alternatively, you can purchase a monthly pass whose price is $120
for unlimited rides. If you purchased the monthly pass, you _____
paid $4 per ride and you would take _____ trips.
A. get the same; the same number of.
B. get the same; more.
C. get more; more.
D. get more; the same number of.
E. might get more or less; the same number of.
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