[Related to the Economics in Practice in this section] In addition to gambling, Las Vegas is famous for its live production shows. Close to 100 shows are performed at various venues across the city on any given day, and many of the shows are multi-million dollar productions with months-long waiting lists for the best seats. Box office ticket prices range from less than $10 for a few of the smaller shows to over $200 for some of the major productions. In recent years, a number of these shows have begun offering tickets for sale at half price through discount ticket outlets. These half-price tickets are only available on the day of the show, on a first-come, first-served basis. Using the concept of marginal cost, explain why many of these productions have begun to offer these half-price tickets. Once a show has been scheduled and sufficient seats sold to make it Even at half-price, the added will exceed the negligible marginal cost of filling the remaining seats, enabling the show's promoter to enhance its Who among the following do you suppose are the least-likely customers to purchase show tickets through these discount ticket outlets? (Check all that apply.) to stage, the marginal cost of filling remaining seats is probably A. Individuals traveling with an ample entertainment budget. B. People having a rigid vacation itinerary and thus needing much certainty in their schedule. C. People who are very 'picky' about seat quality (location). D. Individuals who are very responsive to price. Can you think of any reasons why a production show would choose to not offer tickets in this manner? (Check all that apply.) OA. Ticket sales at regular prices may decline. OB. The shows are always sold out in advance. OC. Perceptions of the show's quality may suffer. OD. All of the above are plausible.
[Related to the Economics in Practice in this section] In addition to gambling, Las Vegas is famous for its live production shows. Close to 100 shows are performed at various venues across the city on any given day, and many of the shows are multi-million dollar productions with months-long waiting lists for the best seats. Box office ticket prices range from less than $10 for a few of the smaller shows to over $200 for some of the major productions. In recent years, a number of these shows have begun offering tickets for sale at half price through discount ticket outlets. These half-price tickets are only available on the day of the show, on a first-come, first-served basis. Using the concept of marginal cost, explain why many of these productions have begun to offer these half-price tickets. Once a show has been scheduled and sufficient seats sold to make it Even at half-price, the added will exceed the negligible marginal cost of filling the remaining seats, enabling the show's promoter to enhance its Who among the following do you suppose are the least-likely customers to purchase show tickets through these discount ticket outlets? (Check all that apply.) to stage, the marginal cost of filling remaining seats is probably A. Individuals traveling with an ample entertainment budget. B. People having a rigid vacation itinerary and thus needing much certainty in their schedule. C. People who are very 'picky' about seat quality (location). D. Individuals who are very responsive to price. Can you think of any reasons why a production show would choose to not offer tickets in this manner? (Check all that apply.) OA. Ticket sales at regular prices may decline. OB. The shows are always sold out in advance. OC. Perceptions of the show's quality may suffer. OD. All of the above are plausible.
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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![[Related to the Economics in Practice in this section] In addition to gambling, Las Vegas is famous for its live production shows. Close to 100 shows are performed at
various venues across the city on any given day, and many of the shows are multi-million dollar productions with months-long waiting lists for the best seats. Box office
ticket prices range from less than $10 for a few of the smaller shows to over $200 for some of the major productions. In recent years, a number of these shows have
begun offering tickets for sale at half price through discount ticket outlets. These half-price tickets are only available on the day of the show, on a first-come, first-served
basis.
Using the concept of marginal cost, explain why many of these productions have begun to offer these half-price tickets.
Once a show has been scheduled and sufficient seats sold to make it
Even at half-price, the added
▼will exceed the negligible marginal cost of filling the remaining seats, enabling the show's promoter to enhance its
Who among the following do you suppose are the least-likely customers to purchase show tickets through these discount ticket outlets? (Check all that apply.)
▼to stage, the marginal cost of filling remaining seats is probably
A. Individuals traveling with an ample entertainment budget.
B. People having a rigid vacation itinerary and thus needing much certainty in their schedule.
C. People who are very 'picky' about seat quality (location).
D. Individuals who are very responsive to price.
Can you think of any reasons why a production show would choose to not offer tickets in this manner? (Check all that apply.)
OA. Ticket sales at regular prices may decline.
The shows are always sold out in advance.
O B.
O C. Perceptions of the show's quality may suffer.
O D. All of the above are plausible.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fd60fdf27-d9c0-4eca-b6ea-6cc5491edc3a%2F17012a03-88ef-4cc2-958b-3dc647dea538%2Fsuqul1q_processed.png&w=3840&q=75)
Transcribed Image Text:[Related to the Economics in Practice in this section] In addition to gambling, Las Vegas is famous for its live production shows. Close to 100 shows are performed at
various venues across the city on any given day, and many of the shows are multi-million dollar productions with months-long waiting lists for the best seats. Box office
ticket prices range from less than $10 for a few of the smaller shows to over $200 for some of the major productions. In recent years, a number of these shows have
begun offering tickets for sale at half price through discount ticket outlets. These half-price tickets are only available on the day of the show, on a first-come, first-served
basis.
Using the concept of marginal cost, explain why many of these productions have begun to offer these half-price tickets.
Once a show has been scheduled and sufficient seats sold to make it
Even at half-price, the added
▼will exceed the negligible marginal cost of filling the remaining seats, enabling the show's promoter to enhance its
Who among the following do you suppose are the least-likely customers to purchase show tickets through these discount ticket outlets? (Check all that apply.)
▼to stage, the marginal cost of filling remaining seats is probably
A. Individuals traveling with an ample entertainment budget.
B. People having a rigid vacation itinerary and thus needing much certainty in their schedule.
C. People who are very 'picky' about seat quality (location).
D. Individuals who are very responsive to price.
Can you think of any reasons why a production show would choose to not offer tickets in this manner? (Check all that apply.)
OA. Ticket sales at regular prices may decline.
The shows are always sold out in advance.
O B.
O C. Perceptions of the show's quality may suffer.
O D. All of the above are plausible.
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