We’re bringing again worth principle with our sequence on Value Idea issues with Professor Bryan Cutsinger. You may view the earlier drawback and Cutsinger’s resolution right here and right here.
Share your proposed options within the Feedback. Professor Cutsinger might be current within the feedback for the following couple of weeks, and we’ll put up his proposed resolution shortly thereafter. Might the graphs be ever in your favor, and lengthy reside worth principle!
Query: Uber affords a membership possibility that entitles members to a share discount within the worth of Uber rides. Consider the next two statements:
1- Suppose an Uber buyer is detached between changing into an Uber member or paying the usual Uber trip worth. This buyer won’t ever spend much less, and, generally, will spend extra on Uber rides if the shopper turns into a member. (Assume that Uber rides are a homogenous good.)
2- Introducing the membership possibility can by no means cut back the variety of Uber rides this buyer takes.
