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Consider the following strategy prole. All students of all types announce they are type 12. Ben identies all students (regardless of their announcements) to be equally likely to be each type, and assigns them all grade 6. Regardless of whether or not this strategy prole is an equilibrium, what payos would result for each type of student and what average payos would result for Ben? Notice that, given the choices of the students, Ben is assigning grades optimally. Explain carefully whether or not this is an equilibrium.
Why would a country include offshore assembly provisions in its tariff code? Post to the discussion board your 200 word answer, focusing on selecting and organizing your most relevant comments in a coherent fashion
Suppose that Player 1 first plays Top, Middle or Bottom. Player 2 only finds out whether player 1 has played Bottom. If so, he plays Left or Right; if not, he plays In or Out. Draw the game tree, identify the subgame(s), find the subgame perfect equi..
Suppose you have three indivisible assets, A, B and C with internal rates of return 2%, 5% and 10% respectively and initial costs of $1, $4, $5. Suppose you have $8.0 at 1% and can borrow at 9%. What is the incremental cost of funds on asset B?
Suppose you are a manager at Bank of America and the Federal Reserve raises the required reserve ratio from 10 percent to 12 percent. What actions would you have to take? How would your actions and those of other bank manager’s end up affecting the m..
What is the short run average cost of producing 20,000 units?
Which of the following is NOT true of the Rogerian model for argument?
Georgi Rostov deposits$3,000 in a savings account that pays 6% interest compounded monthly. Three years later, he deposits $4,000. Two years after the $4,000 deposit, he makes another deposit in the amount of $6,000. Four years after the $6,000 depos..
Assume new suppliers enter the market due to the increase in demand so the new supply curve is Q= -500 + 10P. Illustrate what are the new equilibrium price and equilibrium quantity.
There is a 1 percent chance that you will have healthcare bills of $100,000, a 19 percent chance that you will have healthcare bills of $10,000, a 60 percent chance that you will have healthcare bills of $500, and a 20 percent chance that you will ha..
A worker in Rhode Island can produce 1 pound of corn in 15 minutes and 1 pound of shucked oysters in 10 minutes. A worker in South Carolina can produce 1 pound of corn in 20 minutes and 1 pound of shucked oysters in 60 minutes. Which state has a comp..
The short-run marginal cost curves of each of the 1000 firms in the fireworks are given by MC = 10+Q, where Q is measured in pounds of cherry bombs per year and MC is measured in dollars per pound of cherry bombs. How much better off would consumers ..
An auto-service establishment has estimated its monthly cost function as follows: Where Q is the number of cars it services each months and TC represents its total cost. The firm is targeting 35,000 net monthly profit servicing 2000 cars. What price ..
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