"Strike first" or initiating a war may be the appropriate strategy for a nation if
a. it has a national security advantage which it believes will be eroded in time
b. it already faces a national security disadvantage vis-à-vis an adversary
c. it wants to shift its production possibilities curve to the right
d. it wants to shift its production possibilities curve to the left
e. it wants to shift its adversary's production possibilities to the right
A
You might also like to view...
If you deposit $100 of currency into a demand deposit at a bank, this action by itself
a. does not change the money supply. b. increases the money supply. c. decreases the money supply. d. has an indeterminate effect on the money supply.
Two firms, A and B, each currently dump 20 tons of chemicals into the local river. The government has decided to reduce the pollution and from now on will require a pollution permit for each ton of pollution dumped into the river. The government gives each firm 10 pollution permits, which it can either use or sell to the other firm. It costs Firm A $100 for each ton of pollution that it
eliminates before it reaches the river, and it costs Firm B $50 for each ton of pollution that it eliminates before it reaches the river. After the two firms buy or sell pollution permits from each other, we would expect that a. Firm A will no longer pollute, and Firm B will not reduce its pollution at all. b. Firm B will no longer pollute, and Firm A will not reduce its pollution at all. c. Firm A will dump 10 tons of pollution into the river, and Firm B will dump 10 tons of pollution into the river. d. Firm A will increase its pollution and Firm B will reduce its pollution.
Compared with a normal monopolist, an effective price-discriminating monopolist produces a:
A. smaller output at a lower profit. B. smaller output but at a larger profit. C. larger output but at a lower profit. D. larger output at a larger profit.
An increase in the marginal cost arising from a more complex specialized investment environment will cause the optimal contract length to:
A. either increase or decrease. B. remain constant. C. increase. D. decrease.