Which of the following is true of a payoff matrix?
A) It is the representation of only the best response of each player.
B) It takes into account all relevant costs and benefits associated with each action of the players.
C) It shows the payment made to each factor of production for the production of a good.
D) It does not represent all the costs and benefits associated with the choices of the players.
B
You might also like to view...
Refer to Figure 12-16. Which panel best represents the perfectly competitive organic produce market in which some firms are earning short-run economic profits, and the Surgeon General announces that switching from non-organic produce to organic
produce will add 5 years to the average life span of consumers? A) Panel A B) Panel B C) Panel C D) Panel D
If the Mexican government devalues its peso, it is
a. allowing the peso on the foreign exchange market to float to a higher equilibrium level b. allowing the peso on the foreign exchange market to float to a lower equilibrium level c. intentionally decreasing the value of the peso d. intentionally increasing the value of the peso e. increasing the value of the gold content of the peso
In the theory of monopoly, which of the following is an exogenous variable?
a. The technology available to the monopoly. b. The price charged by the monopoly. c. The level of output produced by the monopoly. d. The profit earned by the monopoly.
It is correct to state that a society which is on its production possibilities curve is
A) underutilizing is resources. B) technologically inefficient. C) consuming too much output. D) fully utilizing its productive resources.