Which of the following conditions is characteristic of a monopolistically competitive firm in short-run equilibrium?

Refer to the scenario above. Which of the following is likely to be true if Joe is known to be trustworthy?

A) Multiple equilibria will occur. B) A Nash equilibrium will occur. C) A socially inefficient equilibrium will occur. D) A dominant strategy equilibrium will occur.

A chemical factory and a fishing club share a lake. Producing chemicals creates water pollution that harms the fish. The marginal social cost, private marginal cost, and marginal benefit from producing chemicals are in the figure above

Initially the lake is owned by no one. Keeping in mind the Coase theorem, if transactions costs are low then if the chemical factory owns the lake ________ tons of chemicals will be produced and if the fishing club owns the lake, ________ tons of chemicals will be produced. A) 4; 4 B) 4; 8 C) 8; 4 D) 8; 8