All else equal, forecasting your firm's demand is likely to be less profitable if any of the following are true except for which one?
A) It is difficult to obtain an accurate forecast of your firm's demand.
B) Your firm experiences small fluctuations in demand.
C) A change in your output level leads to a large change in the firm's marginal cost.
D) A change in your output level leads to a small change in the firm's marginal cost.
D) A change in your output level leads to a small change in the firm's marginal cost.
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You are at a sports memorabilia convention and you are the last of 100 people chosen to have your picture taken with either Joe Montana or Nolan Ryan
Your payoff depends on how quickly you can have your picture taken, as you have many other things you want to see at the convention. You have no preference with whom you have your picture taken, and since you were the last chosen you will be the last person in line to get your picture taken with the sports legend you select. Identify all the Nash equilibria in this game and explain your reasoning.
If firms in a competitive market have different cost functions, then
A) there is no short run market supply curve. B) the market supply curve reflects those firms' operating envelopes, even in the short run. C) some of the firms will shut down because their costs are too high to compete. D) the firms' marginal costs will be different at the market price.
Which of the following will lead to a decrease in the firm's short-run demand for labor?
A) an increase in the price of the final product B) an increase in price of the final product's substitute good C) a decline in labor productivity D) an increase in the number of buyers for the final product
Ezybuy is a newly opened chain of departmental stores that offers its customers free home delivery for purchases above $100 . If this promotional policy increases the cost borne by the seller by $10 for every transaction, while each customer values this service at $3, it can be said to generate economic value
Indicate whether the statement is true or false