Consider the accompanying payoff matrix. 
Suppose both players make their choices simultaneously and independently. What is the Nash equilibrium of this game?
A. Player A chooses Up and player B chooses Right.
B. Player A chooses Down and player B chooses Right
C. Player A chooses Up and player B chooses Left.
D. Player A chooses Down and player B chooses Left.
Answer: C
You might also like to view...
According to some New Keynesian theories, one possible rationale for active policy making is
A) growing competition in U.S. product markets. B) flexible prices. C) sluggish adjustment of the price level in response to changes in aggregate demand D) people are not rational and so do not react to incentives.
Michigan Cranberry Company sold $10 million worth of cranberries it produced. In producing cranberries, it purchased $1 million dollars worth of supplies from foreign countries and paid workers who reside in Canada but commute to the U.S. $1 million. How much did these transactions add to U.S. GDP?
a. $12 million b. $11 million c. $10 million d. $9 million
A ________ demand curve for shampoo would be caused by a change in the price of shampoo.
A) positively sloped B) leftward shift of the C) rightward shift of the D) movement along the
This graph demonstrates the domestic demand and supply for a good, as well as a tariff and the world price for that good.
According to the graph shown, if the economy were operating in autarky and then moved to free trade, the overall impact on surplus would be a net:
A. loss of FGIJKL. B. gain of FGIJKL. C. gain of FGJK. D. loss of FGJK.