An incumbent announces it will significantly increase output in the next period, but only has contracts for the amount produced this period. The announcement is a

A) credible threat.
B) non-credible threat.
C) commitment.
D) mixed strategy.

B

Economics

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A) increase; raise B) decrease; raise C) not change; decrease D) increase; lower E) decrease; lower

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When an investor buys a corporate bond, the ________ the bond is a loan to the corporation

A) interest on B) dividend payment on C) coupon payment on D) face value of

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