Is this outcome efficient?
a. Yes because both of them are maximizing their payoffs
b. No, because both of them can do better than their current equilibrium
c. No, because cheating is goodNo, because cheating is good
d. All of the above
b
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When a tariff is imposed, the supply curve for the imported good
A) shifts downward and to the right. B) shifts upward and to the left. C) does not change. D) becomes perfectly inelastic.
When people talk about U.S. intellectual property rights, what are they talking about?
A. The existence of high-quality educational institutions such as the Ivy League schools. B. The abstract nature of ownership in corporate organizations. C. The human capital of the U.S. labor force. D. Ideas and knowledge protected by patents and copyrights.
What is an example of the scale effect?
A. Workers choose to provide more hours of labor when the wage rate decreases. B. The firm expands output when production costs increase. C. The firm hires more labor as long as the marginal product of labor is positive. D. The firm hires more labor when the wage falls because labor has become relatively cheaper compared to the price of other factors of production. E. The firm expands output when production costs fall.
Suppose that at the current level of production, the price of a monopolist’s product is equal to $15 per unit. Marginal revenue is equal to $10 per unit, and marginal cost is equal to $15 per unit. This monopoly
a) has maximized profit and should keep production the same. b) can increase its profit by producing and selling more units of its product. c) can increase its profit by producing and selling fewer units of its product. d) more information is needed to answer this question.