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Microeconomics

13th Edition
Roger A. Arnold
ISBN: 9781337617406

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BuyFindarrow_forward

Microeconomics

13th Edition
Roger A. Arnold
ISBN: 9781337617406
Textbook Problem

Many movie theaters charge a lower admission price for the first show on weekday afternoons than they do for a weeknight or weekend show. Explain why.

To determine

Explain the reason for movie theaters charging a lower admission price for first show on a weekday afternoon than for weeknight show.

Explanation

Charging lower admission price for first show on weekday afternoon than for weeknight show is due to the availability of surplus seats. The potential viewers who are available at an early show are non-wage earners. Thus, the theater owner identified that for an early show seats are surplus beca...

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