Good A has a perfectly inelastic demand and an upward-sloping ...

[Mr3Hunna]

Good A has a perfectly inelastic demand and an upward-sloping supply curve. Good B has a perfectly inelastic supply and a downward-sloping demand curve. If the same sales tax is imposed on the sellers of both good A and good B, the price paid by
 
  A) buyers of good A rises by more than the price paid by buyers of good B.
  B) buyers of good B rises by more than the price paid by buyers of good A.
  C) buyers of good A rises by the same amount as the price paid by buyers of good B.
  D) More information is needed to determine whether the price paid by buyers of good A rises by more than, less than, or the same amount as the price paid by buyers of good B.

Question 2

Game theory is most useful for determining the outcome when ________.
 
  A) the market structure is oligopoly
  B) monopolistic competition exists
  C) prison terms are involved
  D) the market is dominated by a monopoly

[jointhecircus]

Answer to Question 1

A

Answer to Question 2

A