Suppose Firm A and Firm B are considering whether to invest in a new production technology. For each firm, the payoff to investing (given in thousands of dollars per day) depends upon whether the other firm invests, as shown in the payoff matrix below. 
Which of the following statements is correct?
A. Firm A does not have a dominated strategy.
B. "Invest" is a dominated strategy for Firm A.
C. "Don't invest" is a dominated strategy for Firm A.
D. It cannot be determined whether Firm A has a dominated strategy.
Answer: B
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The European Commission believes that in 2016 exports of goods and services from Spain will be 22 times larger than in 2013. Irish exports are expected to have grown by 15 percent over the same period. If imports remain constant
A) the current account balance in both countries will become more positive. B) the current account balance in both countries will become more negative. C) there will be no change in the current account balance of both countries. D) in both countries the capital and financial account balance will become more positive.
Resource prices are fixed for some period of time because
a. some workers enter into long-term contracts. b. firms purchase raw materials on set-price contracts. c. many workers get pay increases only once a year. d. All of the above are correct.
Number of FigsVCMCAVCFCTCATC0???100??19090????2?????1353??80???4????400?Table 8.4Table 8.4 presents the cost schedule for David's Figs. If David produces zero figs, David's total costs are:
A. $0. B. $90. C. $100. D. $130.
M2 does not include
A. passbook savings accounts. B. small-denomination time deposits. C. M1. D. Treasury bonds.