Markup pricing is the same as
A) internet pricing.
B) cost plus pricing.
C) peak-load pricing.
D) price discrimination.
B
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An increase in demand is graphically represented as a
A) rightward shift of the demand curve. B) leftward shift of the demand curve. C) movement down and to the right on a demand curve. D) movement up and to the left on a demand curve.
An asset becomes more liquid and hence more money-like
A) as its value relative to other goods approaches zero. B) as its value relative to other goods becomes more uncertain and unpredictable. C) as the cost of exchanging it for other goods approaches zero. D) when it is demanded for its own intrinsic value.
Refer to the normal-form game of price competition shown below. 
Firm A must decide whether or not to introduce a new product. If firm A introduces a new product, firm B must decide whether or not to clone the product. The payoff structure of the game is depicted in Figure 10-12. The subgame perfect Nash equilibrium to this game is:
A. Firm A plays "Do Not Introduce"; firm B plays "Clone" if firm A plays "Introduce." B. Firm A plays "Introduce"; firm B plays "Clone" if firm A plays "Introduce." C. Firm A plays "Introduce"; firm B plays "Do Not Clone" if firm A plays "Introduce." D. Firm A plays "Do Not Introduce"; firm B plays "Do Not Clone" if firm A plays "Introduce."
The Specialty Cake Store, a monopolistically competitive firm, is producing 200 decorated cakes per day and selling each cake for $17. At that production level, ATC is $20, AVC is $15, AFC is $5, and both MR and MC are $8. This firm should
A. decrease output to the point where price equals average total cost. B. increase output to the point where price equals marginal cost. C. continue to produce 200 cakes, as price is greater than AVC. D. shut down and produce zero cakes and just pay fixed costs.