This topic contains a solution. Click here to go to the answer

Author Question: Refer to Figure 10-6. The market is in equilibrium. If the government budget deficit rises, which of ... (Read 131 times)

scienceeasy

  • Hero Member
  • *****
  • Posts: 565
Refer to Figure 10-6. The market is in equilibrium. If the government budget deficit rises, which of the following would you expect to see?
 
  A) The budget deficit will have no impact on the quantity of loanable funds demanded by firms.
  B) The quantity of loanable funds demanded by firms will rise above 120 million.
  C) The interest rate will fall below 4 percent.
  D) The quantity of loanable funds demanded by firms will fall below 120 million.

Question 2

Suppose a player has a dominant strategy. Would she choose to play a mixed strategy (such as playing two strategies with probability 50-50)? Why or why not?
 
  What will be an ideal response?



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

sarajane1989

  • Sr. Member
  • ****
  • Posts: 296
Answer to Question 1

D

Answer to Question 2

A dominant strategy is one best response to every possible strategy of the other player. A game with mixed strategies implies that the best action is to not choose any particular strategy. This means that, in a game with mixed strategies, neither player has a dominant strategy.




scienceeasy

  • Member
  • Posts: 565
Reply 2 on: Jun 29, 2018
YES! Correct, THANKS for helping me on my review


ttt030911

  • Member
  • Posts: 315
Reply 3 on: Yesterday
Thanks for the timely response, appreciate it

 

Did you know?

Human kidneys will clean about 1 million gallons of blood in an average lifetime.

Did you know?

The Centers for Disease Control and Prevention has released reports detailing the deaths of infants (younger than 1 year of age) who died after being given cold and cough medications. This underscores the importance of educating parents that children younger than 2 years of age should never be given over-the-counter cold and cough medications without consulting their physicians.

Did you know?

According to the FDA, adverse drug events harmed or killed approximately 1,200,000 people in the United States in the year 2015.

Did you know?

Street names for barbiturates include reds, red devils, yellow jackets, blue heavens, Christmas trees, and rainbows. They are commonly referred to as downers.

Did you know?

Before a vaccine is licensed in the USA, the Food and Drug Administration (FDA) reviews it for safety and effectiveness. The CDC then reviews all studies again, as well as the American Academy of Pediatrics and the American Academy of Family Physicians. Every lot of vaccine is tested before administration to the public, and the FDA regularly inspects vaccine manufacturers' facilities.

For a complete list of videos, visit our video library