This figure displays the choices and payoffs (company profits) of two music shops-MiiTunes and The Rock Shop. MiiTunes is an established business in the area deciding whether to charge its usual high prices or to charge very low prices, in the hopes that a new business will not be able to make a profit at such low prices. The Rock Shop is trying to decide whether or not it should enter the market and compete with MiiTunes.If the two music stores are faced with the game in the figure, we can see that:
A. neither store has a dominant strategy.
B. MiiTunes has a dominant strategy, but The Rock Shop does not.
C. both stores have a dominant strategy.
D. The Rock Shop has a dominant strategy, but MiiTunes does not.
Answer: B
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Which of the following taxes are earmarked?
a. personal income taxes b. Social Security taxes c. property taxes d. excise taxes e. estate taxes
Laws and government actions designed to prevent monopoly and promote competition are the focus of:
A. social regulation. B. incomes policy. C. antitrust policy. D. industrial regulation.
Table 35.1CountryTons of SoybeansComputerChina100300United States150750Based on the information in Table 35.1, assume China and the United States have the same amount of resources with which to produce soybeans and computers and they produce no other goods. From the information in Table 35.1, it is clear that
A. China has both an absolute and comparative advantage in soybeans. B. The United States has a comparative advantage in both goods. C. The United States has an absolute advantage in both goods. D. China has a comparative advantage in computers.
In Russia, estimated losses from copyright piracy total ________.
A) $3,596 million B) $2,224 million C) $1,691 million D) $225 million