A noncooperative game situation may occur when
A) firms collude.
B) firms find collusion too costly.
C) firms merge.
D) firms agree to price fixing.
B
You might also like to view...
The short-run Phillips curve is drawn for a given expected inflation rate and so it shifts as inflation expectations change
a. True b. False Indicate whether the statement is true or false
Transportation Department requires that airlines give refunds for tickets ___________ within 24 hours of a purchase, or offer a 24-hour hold, for tickets bought more than a week before departure.
Fill in the blank(s) with the appropriate word(s).
At the end of last year, the CPI equaled 120. At the end of this year, the CPI equals 132. What is the inflation rate over this year?
A) 6 percent B) 10 percent C) 12 percent D) None of the above answers are correct because more information is needed to calculate the inflation rate.
If a competitive firm's marginal costs always increase with output, then at the profit maximizing output level, producer surplus is
A) zero because marginal costs equal marginal revenue. B) zero because price equals marginal costs. C) positive because price exceeds average variable costs. D) positive because price exceeds average total costs. E) positive because revenues are increasing faster than variable costs.