Read the news clip, then answer the following questions. Ticketmaster\'s near mo
ID: 1110564 • Letter: R
Question
Read the news clip, then answer the following questions.
Ticketmaster's near monopoly challenged as technology changes
In the 1990s, to see Michael Jordan or Garth Brooks live you had to buy the ticket through Ticketmaster, or from a scalper. Today, Ticketmaster has merged with concert promoter Live Nation and now controls the sale of tickets to sports and music events. Competitors have entered the market, and events tickets are now sold through Internet auction markets.
The increased competition in the sale of tickets will ______ the service fee component of the price and ______ the efficiency of the market.
A.lower; decrease
B.raise; decrease
C.lower; not change
D.lower; increase
E.raise; increase
Scalpers will ______.
A.have difficulty surviving
B.thrive
Explanation / Answer
Ans:
1) Option D
lower; increase
The increase in the competition will decrease the price and increases the performance of the services.
2) Option A
have difficulty surviving
Since scalper has not extended the scope of the business the increase in the competition and decrease in the prices will make scalpers survival difficult.
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