A price floor is considered
A) "fair" based only on the fair results view.
B) "fair" based only on the fair rules view.
C) "unfair" based on both the fair results and fair rules views.
D) "unfair" based only on the fair results view.
E) "fair" based on the fair results view and on the fair rules view.
C
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If you work 4 extra hours, and the slope of the curve showing the relationship between your income and work hours is 8, your income will increase by
A) $2. B) $4. C) $12. D) $32.
If the game continues for infinity, then the new Nash Equilibrium is a. for one firm to charge a HP forever
b. for your firm charge a LP when the other firm does. c. for each firm to charge HP so long as the rival does, otherwise charge a LP. d. for each firm to charge LP until the rival does, and then to charge a HP forever.
Pricing and output determination under an oligopoly is more complicated than pricing and output determinations in other industries. The primary reason for the complication is the:
A. fewness of firms. B. brand loyalty of consumers. C. powerful effect of advertising. D. mutual interdependence of firms.
In the above figure, if this natural monopolist were forced to use marginal cost pricing, it would sell the product at the price
A. A. B. C. C. E. D. F.