The mangers of Healthy Snacks and Healthy Bars are engaged in a strategic interaction in which their interests are aligned, but there is more than one possible equilibrium. All of the following can help the managers determine the equilibrium outcome except which one?
A) an announcement made by either firm regarding their future plans
B) bargaining
C) a focal point
D) the Pareto criterion
B) bargaining
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Citigroup is an example of:
A. a unit bank. B. a financial holding company. C. an Edge Act corporation. D. a foreign bank.
Economists assume the central goal of any business is to:
A. maximize revenues. B. minimize costs. C. maximize profit. D. maximize market share.
Are there impediments to international movement of labor and capital?
a. Yes, but they apply to labor only, capital mobility is almost completely free. b. Yes, although these apply to capital, and not to labor. c. Yes, there are significant (often prohibitive) restrictions on labor and capital mobility. d. No, these have been removed with the passage of recent trade legislation.
Table 1.3 shows the hypothetical trade-off between different combinations of brushes and combs that might be produced in a year with the limited capacity for Country X, ceteris paribus.Table 1.3Production Possibilities for Brushes and CombsCombinationNumber of combsOpportunity Cost(Foregone brushes)Number of brushesOpportunity Cost (Foregone combs)J4 0NAK3 10 L2 17 M1 21 N0NA23 On the basis of Table 1.3, the law of increasing opportunity costs applies to
A. Both brushes and combs. B. Brushes but not combs. C. Combs but not brushes. D. Neither brushes nor combs.