The idea of policymaking taking place in response to a predetermined set of rules is referred to as

Refer to Figure 7.1. Suppose the city passes an ordinance banning loud music, and this directly impacts Angus's legal ability to play his bagpipes. The benevolent social planner would choose an outcome where Angus ________ and Dudley ________

A) plays the bagpipes; does nothing B) plays the bagpipes; calls the police C) mops floors; does nothing D) mops floors; calls the police

Larry's Lizards and Ronaldo's Reptiles are competing pet store franchises. Both are considering opening a store in the small town of Turtleville. If Ronaldo's opens a profitable store in Turtleville and Larry's management determines that

it is not profitable to also open a store, then: A. this is a simultaneous game. B. a Nash equilibrium is not possible in this game. C. Ronaldo's had a first-mover advantage in this game. D. this is a zero-sum game.