Saint Leo Univ ECO 202 Chapter 26 Test (2015)

Question Score: 0 of 1 pt                                                                              Test Score: 61.36% (6.75 of 11 pts)

 

A game in which the players will not negotiate is a

 

Question Score: 1 of 1 pt                                                                              Test Score: 61.36% (6.75 of 11 pts)

 

An industry battle between incompatible product formats can occur if competing firms selling sets of ___products fail to take into account___ effects.

 

Question Score: 1 of 1 pt                                                                              Test Score: 61.36% (6.75 of 11 pts)

 

Which of the market structures has unrestricted entry and exit, many sellers of the product and some ability to set the price?

 

Question Score: 0 of 1 pt                                                                              Test Score: 61.36% (6.75 of 11 pts)

 

What is cartel?

 

Question Score: 1 of 1 pt                                                                              Test Score: 61.36% (6.75 of 11 pts)

 

According to game theory, the strategic interaction between two or more individuals can take the form of

 

Question Score: 0.75 of 1 pt                                                                        Test Score: 61.36% (6.75 of 11 pts)

 

Under the Capper-Volstead Act of 1922,U.S. farmers are permitted to form cooperative organizations aimed at influencing aggregate production and market prices of their crops. Today, many of the nation’s 10,000 potato farmers are aiming to expand the United Potato Growers of America (UPGA), an organization dedicated to restricting potato production, pushing up potato prices, and boosting profits. The UPGA includes farmers from California, Colorado, Idaho, Oregon, Texas, Washington, and Wisconsin. Members sign an agreement to restrict their production of potatoes. The UPGA uses satellite photography and global-positioning –system technology to enforce the agreement and fines members who are caught cheating.

 

Based on the discussion of the factors favouring the organization and enforcement of a cartel, What aspects of U.S potato farming make the ultimate success of the UPGA’s potato cartel more or less likely?

 

Question Score: 1 of 1 pt                                                                              Test Score: 61.36% (6.75 of 11 pts)

 

How can an oligopoly form when there are network effects and market feedback?

 

Question Score: 0 of 1 pt                                                                              Test Score: 61.36% (6.75 of 11 pts)

 

Which of the market structure has some ability to set the price and not earn long-run economic profits?

 

Question Score: 1 of 1 pt                                                                              Test Score: 61.36% (6.75 of 11 pts)

 

Oligopolies may emerge in an industry because of

 

 

 

 

 

Question Score: 0 of 1 pt                                                                              Test Score: 61.36% (6.75 of 11 pts)

 

Consider the following payoff matrix. Firm 1 and Firm 2 are seeking to choose between Format A and Format B for their products. Which of the following statements best describes their profit-maximization?

 

Question Score: 1 of 1 pt                                                                              Test Score: 61.36% (6.75 of 11 pts)

 

A situation where a consumer’s willingness to use an item depends on how many others use it is