If a separating equilibrium is played in a signaling game, the receiver will "update" his beliefs during the game.
Answer the following statement true (T) or false (F)
True
Rationale: In a separating equilibrium, each sender type sends a different signal -- implying that the receive can infer the sender's type.
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After increasing at more than 2 percent per year between 1950 and 1973, the growth rate of average labor productivity ________ between 1973 and 1995, and ________ between 1996 to 2007.
A. speeded up; accelerated even more B. slowed; decreased even more C. slowed; picked up D. speeded up; slowed
What are the three main characteristics of monopolistic competition?
A shift from S1 to S2 reflects the change that happens when a negative externality is taken into account. A shift from D1 to D2 reflects the change that happens when a positive externality is taken into account.Refer to the above figures. If a positive externality that existed becomes corrected, price and quantity will become
A. P1 and Q1. B. P2 and Q2. C. P3 and Q3. D. P4 and Q4.
Which of the following is not characteristic of monopolistic competition?
A. Some market power. B. Low concentration ratios. C. Firms have zero control over price. D. Many firms in an industry.