Which of the following is true?
A. Each Nash equilibrium is a perfect equilibrium.
B. In a one-shot game, a collusive strategy always represents a Nash equilibrium.
C. Every perfect equilibrium is a Nash equilibrium.
D. A perfect equilibrium occurs when each player is doing the best he can regardless of what the other player is doing.
Answer: C
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Michigan Radio is the state's most listened-to public radio service, attracting approximately 400,000 listeners each week. How would Michigan public radio best be classified?
A) as a private good B) as a common resource C) as a natural monopoly D) as a public good
When a tax on output is imposed to internalize the external costs of pollution, the supply curve shifts down by the amount of the tax
Indicate whether the statement is true or false
____ experience lower rates of unemployment than do ____
a. Teenagers; adults b. Adult males; adult females c. Skilled workers; unskilled workers d. Black females; white females
The reason individual homeowners usually do not hire a private contractor to fill the potholes on their street is because
a. there are positive externalities associated with the potholes b. the value to the neighborhood exceeds the cost of repair c. it costs them more than the benefits they derive d. they do not trust the government e. there are negative externalities associated with the repair