The prisoners' dilemma is a game in which
A) the dominant strategy for all participants is to choose a strategy that makes them all worse off.
B) the dominant strategy is to cooperate.
C) only one of the firms is able to make above-normal profits.
D) each firm, in making decisions on the basis of its own self-interest, also makes decisions that benefit the group as a whole.
A
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The chair of the Department of Economics at Colorado State University decided that office space is for tenured faculty and that graduate students are required to share cubicles. What method is used to allocate office space?
A) lottery B) majority rule C) command D) first-come, first-served E) sharing equally
In Dutch or first-price sealed-bid auctions, participants will bid less than their highest valuation
What will be an ideal response?
The price elasticity of demand for a product is a measure of the:
a. extent of competition in the market for the product. b. change in the quantity purchased of the product relative to a change in a consumer's income. c. change in the quantity demanded of the product due to changes in factors other than price. d. degree of consumer responsiveness to changes in the price of the product. e. percentage change in the prices of two related products.
A leftward shift of a supply curve is called a(n)
a. decrease in demand b. increase in supply c. decrease in supply d. increase in quantity supplied e. decrease in quantity supplied