Refer to the above payoff matrix for the profits (in $ millions) of two firms (A and B) making a decision to advertise or not. Which of the following is the outcome of the dominant strategy without cooperation?
A) Both firm A and firm B choose not to advertise.
B) Both firm A and firm B choose to advertise.
C) Firm A chooses to advertise while firm B chooses not to advertise.
D) Firm A chooses not to advertise while firm B chooses to advertise.
B
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Resources that are ________ tend to be carefully managed to provide profits, which ensures that they will last a long time
A) publicly held B) privately owned C) scarce D) abundant
Between 2015 and 2016, the CPI of a small nation rose from 182 to 185. If household incomes rose by 3% during that period of time, which of the following is true?
A) The purchasing power of household income remained constant between 2015 and 2016. B) The purchasing power of household income rose between 2015 and 2016. C) The purchasing power of household income fell between 2015 and 2016. D) The CPI cannot be used to determine how the purchasing power of household income changes over time.
According to the Economic Freedom of the World measure, between 2000 and 2010 the economic freedom of the United States
a. declined and its rank fell from third to tenth during this period. b. increased, and the U.S. became the freest economy in the world during this decade. c. was largely unchanged and the U.S. remained the third freest economy in the world, behind only Hong Kong and Singapore. d. decreased, but the U.S. was still the freest economy in the world in 2010.
In 1986, Ken bought a Ford Mustang for $8,000 . If the price index was 122 in 1986 and the price index was 280 in 2011, then what is the price of the Mustang in 2011 dollars?
a. $3,485.71 b. $8,100.71 c. $18,360.66 d. $22,400.00