If both firms plan to be in business for one-year, the Nash ...

[Garrulous]

If both firms plan to be in business for one-year, the Nash Equilibrium will be
 a. For each firm charge LP
  b. For neither firm to charge LP
  c. For one firm to charge LP and the other HP
  d. None of the above.

Question 2

Risk-averse individuals will diversify their investments because this will:
 a. increase their expected returns.
  b. provide them with some much-needed variety.
  c. reduce the variability of their returns.
  d. reduce their transaction costs.

[mcinincha279]

Answer to Question 1

a

Answer to Question 2

c