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Paul and John are working on a project for which they will receive the same grade. The utility to each of them would be their grade minus their own effort. If Paul puts in x units of effort and John puts in y units of effort their grade will be equal to the higher of the two effort levels, x and y. So for a given choice of x and y Paul's utility is given by 2 max{x, y} - x while John gets a utility of 2 max{x, y} - y. The possible choices for effort level are 1 and 2. Write down the payoff matrix for this game. a) Which outcomes are Pareto efficient? b) Find the best response functions. c) State all Nash Equilibria of the game.
the xyz corporation is an american company that manufactures the parts needed for its products abroad in country m. it
How would a change in the nominal exchange rate affect competitiveness in the short run when prices are sticky and business executives and policymakers are often concerned about the competitiveness of American industry
1which of the following is the best example of an automatic stabilizer?a welfare paymentsb foreign aidc defense
how many units should be produced by plant 1 and plant 2 to maximise profit for this monopoly
Event 1: The wages for all dental assistants increase, increasing the costs of inputs. Event 2: The government provides national dental insurance benefits for all U.S. citizens that cover 100% of the cost of all dental services. There are two effe..
what you must give up to get something; what you are willing to give up to get it. the amount of money that you pay on the margin; the amount of money that you receive on the margin. what you are willing to give up to get it; what you must give up to..
After Henry ford invented the assembly line for producing automobiles, other automobile companies copied his invention. The new technology rise the economies of scale in automobile producing.
at the beginning of the year an audio engineer quit his job and gave up a salary of 175000 per year in order to start
You run a small business and would like to predict what will happen to the quantity demanded for your product if you raise your price. While you do not know the exact demand curve for your product
budget deficits are sometimes useful to spur consumption and thus encourage investment in business plant and equipment
go to the federal reserves web site www.federalreserve.gov. under economic research and data link you will nd the data
Consider a perfectly competitive market. Analyze and explain in detail using graphical tools to show what you expect to happen to the number of firms and firm profitability in the short run and long run a) if demand for the product falls and b) if..
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