Which of the following is true?
a. A Nash equilibrium maximizes a player's welfare, regardless of the behavior of a competitor while a dominant strategy maximizes a player's welfare, given the actions of its competitor.
b. A Nash equilibrium maximizes a player's welfare, given the actions of its competitor, while a dominant strategy maximizes a player's welfare, regardless of the behavior of
its competitor.
c. A Nash equilibrium is just another name for a dominant strategy.
d. A Nash equilibrium may or may not be a self-enforcing equilibrium.
b
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Refer to Scenario 2. The average fixed cost of 2 units of output is:
A) $8.00. B) $8.50. C) $12.00. D) $20.50.
The labor market is composed of
a. a relatively homogeneous supply of labor and downward-sloping demand curve. b. a vertical supply curve for labor and relatively elastic market demand. c. many submarkets for labor of different types. d. more teenagers than any other age group of labor.
The Mear Corporation finds that its total spending on machine parts increases after the price of machine parts falls, other things being equal. Which of the following is true about the Mear Corporation's demand for machine parts with the price change?
A. It is perfectly inelastic. B. It is price inelastic. C. It is unit elastic. D. It is price elastic.
The increase in unemployment that occurs during recessions and depressions is called
A. normal unemployment. B. frictional unemployment. C. structural unemployment. D. cyclical unemployment.