Recall the Application about the reason for the high price of movie popcorn to answer the following question(s).
-Recall the Application. Suppose a low demander is willing to pay $8 for a movie, while a high demander is willing to pay $12 for a movie and popcorn. The theater could charge ________ for admission and ________ for popcorn for each consumer to receive a consumer surplus of $2.
A) $8; $2
B) $10; $0
C) $6; $4
D) $9; $3

Question

Quizplus · Accepted Answer

Charging $6 for admission and $4 for popcorn allows the low demander to pay $8 in total ($6 + $2 surplus) and the high demander to pay $12 in total ($6 + $4 + $2 surplus).

Recall the Application About the Reason for the High Price