"Uber eats usually has a promotion in which, if a customer orders more than $30 worth of food at a specific restaurant, the customer will get a discount of 15% off their order. " Answer the following questions concisely: 1. Before this promotion starts, in general terms, what do a customer's marginal cost and marginal benefit curves look like? (eg Upward sloping, downward sloping, horizontal?). Be clear about what is being measured. 2. What is Uber's goal with this policy? 3. How does this affect an average customer's marginal cost and marginal benefit curves, and their intersection?

"Uber eats usually has a promotion in which, if a customer orders more than $30 worth of food at a specific restaurant, the customer will get a discount of 15% off their order. " Answer the following questions concisely: 1. Before this promotion starts, in general terms, what do a customer's marginal cost and marginal benefit curves look like? (eg Upward sloping, downward sloping, horizontal?). Be clear about what is being measured. 2. What is Uber's goal with this policy? 3. How does this affect an average customer's marginal cost and marginal benefit curves, and their intersection?

Microeconomics

13th Edition

ISBN:9781337617406

Author:Roger A. Arnold

Publisher:Roger A. Arnold

Chapter7: Consumer Choice: Maximizing Utility And Behavioral Economics

Section: Chapter Questions

Problem 5QP

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