Ecn601 topic 8 exam 2 - Study guides, Class notes & Summaries

1. Question:Forjointlyownedsubstituteproducts,cannibalizationleads toMR MC. 2. Question:Use the table provided to answer the following question. If the groups are of equal size andthe firm can onlysetoneprice,howshould the firmpricethehigh-end wok? 3. Question:TheoptimalstrategyinaVickeryauctionisto: 4. Question:Whichofthefollowingisascreenagainstadverseselection? 5. Question:The general rule to increase profits when two close complementary brands are jointly ownedis: 6. Question:Indirectpr...

1. Question:Indirectpricediscrimination differsfromdirectprice discriminationbecause: 2. Question:What is it called when each additional worker hired contributessuccessively smalleramountsofoutput? 3. Question:Jim has a better chance of having his offer accepted, since the seller doesnothaveanyoutsideoffers. 4. Question:For a production function with a diminishing, but positive, marginal productoflabor: 5. Question:Nashequilibriumis: 6. Question:Moralhazardimpliesthat: 7. An HVAC company i...

1. Question:TheoptimalstrategyinaVickeryauctionisto: 2. Question:Tomwantstoavoidanyaccidentsontheworkfloorofhisfactory.Ifanaccidentdoesoccur,itwouldcosthim $500,000 in damages. Installing safety equipment would decrease the probability of an accidentoccurring from 20% to 10%. However, the equipment costs $20,000 to install. What is his expected lossafterinstalling thesafetyequipment? 3. Question:Whichofthefollowingisaviolationofantitrustlaws? 4. Question:Whatisitcalledwheneachadditionalworker...

1. Question:Forjointlyownedsubstituteproducts,cannibalizationleads toMR MC. 2. Question:Use the table provided to answer the following question. If the groups are of equal size andthe firm can onlysetoneprice,howshould the firmpricethehigh-end wok? 3. Question:TheoptimalstrategyinaVickeryauctionisto: 4. Question:Whichofthefollowingisascreenagainstadverseselection? 5. Question:The general rule to increase profits when two close complementary brands are jointly ownedis: 6. Question:Indirectpr...

1. Question:TheoptimalstrategyinaVickeryauctionisto: 2. Question:Tomwantstoavoidanyaccidentsontheworkfloorofhisfactory.Ifanaccidentdoesoccur,itwouldcosthim $500,000 in damages. Installing safety equipment would decrease the probability of an accidentoccurring from 20% to 10%. However, the equipment costs $20,000 to install. What is his expected lossafterinstalling thesafetyequipment? 3. Question:Whichofthefollowingisaviolationofantitrustlaws? 4. Question:Whatisitcalledwheneachadditionalworker...

1. Question:Forjointlyownedsubstituteproducts,cannibalizationleads toMR MC. 2. Question:Use the table provided to answer the following question. If the groups are of equal size andthe firm can onlysetoneprice,howshould the firmpricethehigh-end wok? 3. Question:TheoptimalstrategyinaVickeryauctionisto: 4. Question:Whichofthefollowingisascreenagainstadverseselection? 5. Question:The general rule to increase profits when two close complementary brands are jointly ownedis: 6. Question:Indirectpr...

1. Acquiring a firm that sells a substitute good would make the demand curve for your original product ~ 2. The general rule to increase profits when two close substitute brands are jointly owned is ~ 3. After acquiring closely substitutable product brands, a firm can successfully raise prices on both of the brands without losing much of its total sales because ~ 4. Which of the following is an example of price discrimination? 5. The practice of buying a firm’s good in one market at a low ...

1. Acquiring a firm that sells a substitute good would make the demand curve for your original product ~ 2. The general rule to increase profits when two close substitute brands are jointly owned is ~ 3. After acquiring closely substitutable product brands, a firm can successfully raise prices on both of the brands without losing much of its total sales because ~ 4. Which of the following is an example of price discrimination? 5. The practice of buying a firm’s good in one market at a low ...

1. Question:Indirectpricediscrimination differsfromdirectprice discriminationbecause: 2. Question:What is it called when each additional worker hired contributessuccessively smalleramountsofoutput? 3. Question:Jim has a better chance of having his offer accepted, since the seller doesnothaveanyoutsideoffers. 4. Question:For a production function with a diminishing, but positive, marginal productoflabor: 5. Question:Nashequilibriumis: 6. Question:Moralhazardimpliesthat: 7. An HVAC company i...

1. Question:TheoptimalstrategyinaVickeryauctionisto: 2. Question:Tomwantstoavoidanyaccidentsontheworkfloorofhisfactory.Ifanaccidentdoesoccur,itwouldcosthim $500,000 in damages. Installing safety equipment would decrease the probability of an accidentoccurring from 20% to 10%. However, the equipment costs $20,000 to install. What is his expected lossafterinstalling thesafetyequipment? 3. Question:Whichofthefollowingisaviolationofantitrustlaws? 4. Question:Whatisitcalledwheneachadditionalworker...