The payoff matrix below shows the payoffs (in millions of dollars) for two firms, A and B, for two different strategies, investing in new capital or not investing in new capital. 
This game is an example of a:
A. game with multiple equilibria.
B. credible promise.
C. prisoner's dilemma.
D. cartel.
Answer: C
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Expansionary monetary policy should initially change gross investment by ________.
A. more than necessary to reach full employment B. an amount determined by the money multiplier C. enough to reach full employment D. less than necessary to reach full employment
The private cost of a good or service is the cost borne by those who do not produce the good or service
Indicate whether the statement is true or false
How is the official poverty line determined in the United States? What alternative method of measuring poverty has been suggested? Explain
What will be an ideal response?
When an employer pays the cost of educating a worker, it is likely that the employer
a. is demonstrating altruistic motives. b. is pursuing some objective other than profit-maximization. c. hopes to recapture his investment in the form of increased labor productivity. d. receives reimbursement from the government for the cost of the education.