Hot dog vendors on the beach fail to cooperate with one another on the quantity of hot dogs they should sell to earn monopoly profits. A consequence of their failure is that, relative to the outcome the vendors would like, (i) the quantity of hot dogs supplied is closer to the socially optimal level. (ii) the price of hot dogs is closer to marginal cost. (iii) the hot dog market at the beach is
less competitive.
a. (i) and (ii)
b. (ii) and (iii)
c. (i) and (iii)
d. (iii) only
a
Economics
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Keynesians would argue that:
a. information is inherently limited. d. individuals have limited ability to process information when making decisions. c. people often make mistakes even with appropriate information. d. all of the above. e. none of the above.
Economics
Refer to Table 5.1. A risk-neutral individual making a decision solely on the basis of the above information would choose to major in
A) accounting. B) economics. C) English. D) political science. E) mathematics.
Economics