Refer to the below table. When this game reaches a Nash equilibrium, the payoffs will be
Answer the question based on the following payoff matrix for a duopoly in which the numbers indicate the profit from following either an international strategy or a national strategy.
A. $3M for both firms.
B. $17M for both firms.
C. $15 for firm A and $5 for firm B.
D. $5 for firm A and $15 for firm B.
B. $17M for both firms.
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Which of the following would cause the dollar to appreciate?
A) an increase in the demand for imports from foreign countries B) an increase in the demand for dollars C) a decrease in the demand for dollars D) an increase in the supply of dollars
When the government imposes a tariff on imported goods, it _____________ prices for domestic consumers, ________________ consumers' surplus and _________________ the producers' surplus for domestic producers
A) raises; lowers; raises B) lowers; raises; raises C) lowers; raises; lowers D) raises; lowers; lowers E) none of the above
In modern culture, which of the following has probably become the most precious resource?
a. water b. time c. oil d. mathematics
Bambi sells apples that she produces up to the equilibrium price of $20 per bushel. Andre sells green beans that he produces up to the equilibrium price of $18 per bushel. If they both sell the same number of bushels, but Andre makes more profit than Bambi, which of the following situations is true?
a. Producer surplus is greater for green beans than apples. b. Producer surplus is less for green beans than apples. c. Producer surplus is the same for green beans and apples. d. Producer surplus is negative for both green beans and apples.