The above figure shows the payoff matrix facing an incumbent firm. Assuming a fixed cost of entry, will the incumbent deter entry? Why?
What will be an ideal response?
It will deter entry. The profit from deterring entry exceeds the profit from accommodating entry.
Economics
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Which of the following will shift the demand curve for a good?
A) a change in the technology used to produce the good B) a decrease in the price of a complementary good C) an increase in the price of the good D) a decrease in the price of the good
Economics
In 1940 _____ of the population over 25 had a college degree
a. less than 5 percent b. around 10 percent c. around 15 percent d. more than 20 percent
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