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Consider a variant of the ultimatum game, with indivisible units. Two people use the following procedure to allocate two desirable identical indivisible objects. One person proposes an allocation (both objects go to person 1, both go to person 2, one goes to each person), which the other person then either accepts or rejects. In the event of rejection, neither person receives either object. Each person cares only about the number of objects she obtains. Does the game have any Nash equilibrium that is not a subgame perfect equilibrium? Is there any outcome that is generated by a Nash equilibrium but not by any subgame perfect equilibrium?
Assume you are a marketing manager at a top marketing firm that manufactures dish soap. Which research method and tool would you select to collect data and why?The research method I would use to collect data would depend on whether I was collectin..
Find the level of production at which the two layouts are identical from a cost point of view. (b) Find the level of production at which the process layout starts being profitable. (c) Which layout is most cost-effective for a production level equal ..
Explain how might these regulations be thought of as being a negative technological change.
A local hardware store is trying to decide whether to stay open. They have found that their industry is extremely competitive and profits have shrunk considerably. Knowing that you have taken an economics course the owners have asked for your opin..
Some people have suggested that forced population control is an efficient means of decreasing the Tragedy of Commons associated with our clean air and water resources.
Explain why do economists include only final goods in measuring GDP for a particular year and why dont they include the value of stocks and bonds sold?
If the Federal Reserve where ready to cut interest rates next week and officials indicated today that quarter-point cut in federal funds remains firmly on table, despite market expectations of half point cut.
Provide an example of how fiscal also monetary policies compliment or work against each other.
Capital and labor are perfect complements in production for this firm - production process
As Burger King continue, expand, or reduce current operations in order to maximize profits. Explain your reasoning.
Illustrate what are the arguments in favor of trade restrictions, and what are the counterarguments. According to most economists, do any of these arguments really justify trade restrictions.
Assume the Chinese government abandons the peg and allows the yuan to float.What would be the effect on Chinese imports and exports.
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