The prisoner's dilemma illustrates
A) how oligopolists engage in implicit collusion under strategic situations.
B) how cooperation in strategic situations leads to the economically efficient market outcome.
C) why firms will not cooperate if they behave strategically.
D) why firms have an incentive to cheat on agreements.
C
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Answer the following statements true (T) or false (F)
1) Economic research consistently finds that immigration negatively impacts the average American wage. 2) If all nations prohibited the international migration of labor, we would expect world output to decline. 3) If the demand for labor in a country receiving immigrants is inelastic, the immigration will increase the total wages paid in that country. 4) Business income will decrease in the nation from which workers emigrate.
Distinguish between the laws of demand and supply. How are the laws of demand and supply illustrated graphically?
What will be an ideal response?