Author Question: Refer to the figure above. What does the region ABDC indicate? A) Economic profit B) Loss ... (Read 60 times)

jerry coleman · **on:** Jun 29, 2018

Refer to the figure above. What does the region ABDC indicate?

A) Economic profit
B) Loss incurred by the producer
C) Consumer surplus
D) Deadweight loss

Question 2

Which of the following is true in an ultimatum game if more money is considered to be better than less?

A) The equilibrium outcome in an ultimatum game is equitable.
B) The equilibrium outcome in an ultimatum game is socially efficient.
C) The equilibrium in an ultimatum game is always a dominant strategy equilibrium.
D) There is no unique equilibrium in an ultimatum game.