Refer to Table 14-2. Suppose pricing PlayStations is a repeated game in which Wal-Mart and Target will be selling the game system in competition over a long period of time. In this case, what is the most likely outcome?
A) a noncooperative equilibrium in which each firm charges the high price
B) a noncooperative equilibrium in which each firm charges the low price
C) a cooperative equilibrium in which each firm charges the low price
D) a cooperative equilibrium in which each firm charges the high price
D
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Four years after graduating from college you must decide if you want to go on as an accountant (your college major) or if you want to make a career change and become a singer. The cost of your education will matter for your decision
Indicate whether the statement is true or false
Net exports represent the difference between exports and imports
Indicate whether the statement is true or false
Refer to the graph above. When output increases from Q 1 and the price level decreases from P 1, this change will:
Be caused by a shift in the aggregate supply curve from AS1 to AS2 Result in a movement along the aggregate demand curve from e3 to e1 Result in a movement along the aggregate demand curve from e1 to e2 Be caused by a shift in the aggregate supply curve from AS1 to AS3
Many financial instruments are standardized because:
A. it is believed that most parties to a contract do not read them anyway. B. the standardization of contracts makes them harder to understand. C. it is required by the government. D. complexity is costly, the more complex a contract, the more it costs to create.