A dominant strategy is a strategy that has a higher payoff than any other strategy no matter what the other player does.

a. true
b. false


Answer: a. true

Economics

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According to the data in the table above, real GDP grew at a rate of ________ between year 1 and year 2

A) 10 percent B) 1 percent C) 50 percent D) 5 percent E) 55 percent

Economics

Regarding price leadership, which of the following is NOT true?

a. one firm may establish itself as the dominant firm b. the dominant firm is frequently a larger size or has lower cost structure c. Price leadership is a model of price-output determination d. Once established, a barometric price leader will not change e. price leadership is a pricing strategy followed in many oligopolistic industries

Economics

Selling at a price that is only slightly above the firm’s cost of production is called predatory pricing.

Answer the following statement true (T) or false (F)

Economics

If the first four units of a good consumed have marginal utilities of 8, 4, 2, and 1, respectively, this trend is an indication of the:

A. law of consumer equilibrium. B. law of diminishing marginal utility. C. law of diminishing consumer surplus. D. law of supply.

Economics