The prisoner's dilemma illustrates
A) how oligopolists engage in implicit collusion under strategic situations.
B) how cooperation in strategic situations leads to the economically efficient market outcome.
C) why firms will not cooperate if they behave strategically.
D) why firms have an incentive to cheat on agreements.
C
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Under a first-dollar health insurance plan, the patient's marginal cost of treating a covered illness is:
A. a percentage of the total cost. B. negative. C. zero. D. positive.
If a technological change lowers the wage of unskilled workers, it is an example of:
A) a skill-biased technological change. B) an unskilled-biased technological change. C) a preferential-biased technological change. D) a statistical-biased technological changes.
An increase in the price of a firm's good or service shifts its demand curve for labor leftward
Indicate whether the statement is true or false
What does an empty core signify about the resources of the negotiators?