The relationship between the unemployment rate and inflation is studied under:

Behavioral game theory assumes

A) people act rationally. B) people are subject to biases that cause them to act irrationally. C) that people behave differently when playing games than when "playing for real." D) people optimize using all available information.

Anna's Antiques expects to get two bidders for the unique china teacup it sells. Each of the bidders can either have a high-value of $100 or a low-value of $70 with equal probability. If Anna can only set one price, what price should she set?

a. $100 b. $70 c. Any price higher than $100 d. Any price lower than $70