The three models of oligopolies, Cournot, Stackelberg and Bertrand, all assume firms independently choose the quantity of output to produce
Indicate whether the statement is true or false
False. While the Cournot and Stackelberg models assume quantity choice as the action, in the Bertrand model, firms choose price.
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In the short run, a rise in the price level brings a ________ in the real interest rate that ________ investment, bringing ________ in the quantity of real GDP demanded
A) rise; decreases; a decrease B) fall; decreases; a decrease C) fall; increases; an increase D) rise; increases; an increase E) rise; decreases; an increase
Suppose Factory A emits 15,000 units of "Yuck" monthly, Factory B emits 30,000 units, and Factory C emits 45,000 units. Also suppose A's cost of reducing the emission is $1 per unit, B's cost is $2 per unit, and C's cost is $3 per unit
If the EPA prohibits any factory from emitting more than 15,000 units of yuck per month, what would be the total cleanup cost? A) $15,000 B) $40,000 C) $45,000 D) $90,000 E) $120,000