To a firm in perfect competition, price and marginal revenue are equal

For a good such as food, the income elasticity is likely

A) negative. B) equal to zero. C) positive and less than one. D) positive and greater than one. E) undefined because people always buy the same amount of food.

Which is true of output-choice models of oligopoly behavior?

A) Both the Stackelberg and Cournot models can be constructed as sequential games. B) The Stackelberg, but not the Cournot, model can be constructed as a sequential game. C) The Cournot, but not the Stackelberg, model can be constructed as a sequential game. D) Neither the Cournot nor the Stackelberg model can be constructed as a sequential game, but other output-choice models can be. E) There is no relationship between any output-choice model and sequential games.