In the above figure, if the firm is in monopolistic competition, ...

[bobypop]

In the above figure, if the firm is in monopolistic competition, its price will be
 
  A) 1.
  B) 2.
  C) 3.
  D) 4.

Question 2

Oscar and Felix are the only firms that clean offices in a large city. They agree to operate as a cartel. The payoff matrix shows the economic profit that each firm can make.
 
  If the game is played repeatedly and Felix and Oscar both use a tit-for-tat strategy, then ________. A) Felix will make 10 million of economic profit and Oscar will cheat
  B) Felix and Oscar will each make 1 million of economic profit
  C) Felix will make -2 million economic of profit and Oscar will cheat
  D) Felix and Oscar will each make 10 million of economic profit

[millet]

Answer to Question 1

C

Answer to Question 2

D

[bobypop]

Wow, this really help

[Sarahjh]

Thanks for the timely response, appreciate it