Author Question: Employers may discriminate against minority workers because they don't want to offend white ... (Read 103 times)

mckennatimberlake · **on:** Jul 1, 2018

Employers may discriminate against minority workers because they don't want to offend white employees or customers.

Indicate whether the statement is true or false

Question 2

Joe's Imports is currently the only dealer for imported Sporto autos on the East Coast, but Fred's Autos may enter the import market and start selling Sporto cars in the East Coast market during the coming year.

Joe's Imports can pay the Sporto manufacturer for exclusive East Coast marketing rights, which would deter the entry of Fred's Autos into the market. The payoffs from the possible actions are measured in millions of dollars per year, and the possible outcomes of the sequential entry game are summarized in the following matrix: Fred's Autos enters Fred's Autos does not enter Joe's Imports buys rights ---- 50, 0 Joe's Imports does not buy 40, 40 80, 0 What is the equilibrium outcome from this sequential entry game? A) Joe's Imports buys the marketing rights, and Fred's Autos cannot enter the market.
B) Joe's Imports buys the marketing rights, and Fred's Autos enters the market.
C) Joe's Imports does not buy the marketing rights, and Fred's Autos enters the market.
D) Joe's Imports does not buy the marketing rights, but Fred's Autos does not enter the market.