If demand is inelastic A) then a 1 increase in price leads to ...

[RRMR]

If demand is inelastic
 
  A) then a 1 increase in price leads to a fall in quantity of greater than 1.
  B) then a 1 increase in price leads to a fall in quantity of less than 1.
  C) then a 1 increase in price leads to a fall in quantity of 1.
  D) then a 1 increase in price leads to a rise in quantity of less than 1.

Question 2

In a Bertrand model, graphically, the intersection of all firms' best-response curves determines
 
  A) the Nash equilibrium prices.
  B) the dominant strategy for each firm.
  C) the degree of product differentiation.
  D) the price of the market leader.

[1_Step_At_ATime]

Answer to Question 1

B

Answer to Question 2

A