In the sequential negotiation games:
a. You can induce a change in the strategy in your opponent only if your threat is believed
b. Any threat can induce a change in strategy in your opponent
c. The best threat is the one that you do not have to carry out
d. A and C
d
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Suppose the growth rate of the money supply is 5% per year and the velocity of money is constant. In this case:
A. the difference between inflation and the real growth rate must be 5%. B. inflation and the real growth rate must both be 5%. C. the sum of inflation and the real growth rate must be 5%. D. neither the inflation rate nor the real growth rate can exceed 5%.
If the utility for two goods "x" and "y" can be measured as U = y, then it can be concluded that
A) "x" and "y" are perfect complements. B) "x" is a "bad". C) the indifference curves on the x,y graph are upward sloping where "x" is measured on the horizontal axis. D) the indifference curves on the x,y graph are horizontal where "x" is measured on the horizontal axis.