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Suppose that Wal-World and Tarbo are independently deciding whether to implement a new bar code technology. It is less costly for their suppliers to use one system and the following payoff matrix shows the profits per year for each company resulting from the interaction of their strategies.
a. Briefly explain whether Wal-World has a dominant strategy.
b. Briefly explain whether Tarbo has a dominant strategy.
c. Briefly explain whether there is a Nash equilibrium in this game.
Elucidate the price should you charge for a midsized automobile if you expect to maintain your record sales.
Illustrate what is more important for them to monitor and target, inflation or interest rates.
Suppose the price of widgets falls from $7 to $5 and consumption of widgets rises from 15 widgets a month to 25 widgets.calculate the price elasticity of demand of widgets.
Assume NJ government decides to impose a $1,000 per student tax on colleges Every college has to pay $1,000 for each student enrolled.
Discuss and explain how the development of the Internet has changed the market structure in which firms operate. Remember that, we are assuming most companies can be categorized as being in ideal competition, monopolistic competition,
Suppose that initially G is $100 and equilibrium real GDP demanded is $1,000. If the multiplier is 4 & G increases to $200, real GDP demanded will increase
Determine the GDP price index
In the market for flash memory drives ( a normal good), exlpaing whether the following events would cause an increase or a decrease in demand or an increase or decrease in the quantity demanded.
Suppose a business experiences a sudden increase in its fixed costs. For example, suppose property taxes increase dramatically. What impact, if any, will this have the firm's AFC (average fixed cost), AVC (average variable cost), ATC (average tota..
If Congress has determined that the budget will not be completed by September 30, it should prepare appropriations bills to be reviewed by the President?
Assume that the economy is currently in a recession. If policy makers take no action, how will economy evolve over time? Describe in words and using an aggregate demand diagram.
The 3-Stooges partnership is planning three long-term capital investment proposals. Each investment has a useful life of 5 years. Relevant data on each project are as follows.
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