The payoff matrix below shows the daily profit for two firms, Row Restaurant and Column Cafe, for two different strategies, publishing coupons in the student paper and not publishing coupons in the student paper. 
If Row Restaurant publishes coupons, Column Cafe would earn the highest profit if it:
A. did not publish coupons.
B. chooses either strategy because Column Cafe will have the same profit in either case.
C. also published coupons.
D. only offered coupons half of the time.
Answer: C
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Figure 17.1 depicts a firm's marginal revenue product curve. If the product price decreases, the marginal revenue product curve:
A. shifts downward. B. shifts upward. C. remains the same. D. None of these
According to new growth theorists, more technological improvements can be brought about by
A. a government policy that encourages increased consumption. B. government policies that lead to increases in human capital. C. the government taking a more active role in regulating industries. D. tougher immigration laws.
Countries tend to be classified as more or less developed based on
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Refer to the above figure. If the government set a price floor of $3.50 per gallon, there would be
A) an excess quantity demanded equal to 100,000 gallons. B) an excess quantity supplied equal to the distance BD. C) an excess quantity supplied equal to the distance BF. D) an excess quantity supplied equal to 100,000 gallons.