When neither player in a game would want to deviate from a particular outcome, taking the opponent's behavior as given, the outcome is
a. a Stackelberg equilibrium.
b. Pareto optimal.
c. a Nash equilibrium.
d. a dominant strategy.
c. a Nash equilibrium.
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Which of the following is ALWAYS true regarding a profit maximizing monopolistically competitive firm in short-run equilibrium?
A) P = ATC. B) P = MR. C) MR = MC. D) MC = ATC.
The socially optimal amount of pollution is
A) zero. B) greater than zero. C) indeterminant. D) unattainable.
Nike faces a more__________ demand for its products than a shoe polish producer
a. inelastic b. elastic c. perfectly elastic d. perfectly inelastic
Suppose the population (age 16 and over) of Guatemala is 100 million; 5 million are unemployed, and 70 million hold jobs. The employment/population ratio of Guatemala is
a. 5 percent. b. 65 percent. c. 70 percent. d. 85 percent.