Author Question: In an increasing-cost industry, expansion of output A) causes input prices to rise as demand for ... (Read 56 times)

genevieve1028 · **on:** Jul 1, 2018

In an increasing-cost industry, expansion of output

A) causes input prices to rise as demand for them grows.
B) leaves input prices constant as input demand grows.
C) causes economies of scale to occur.
D) occurs under conditions of increasing returns to scale.
E) occurs without diminishing marginal product.

Question 2

What is true about dominant strategies in the game in Scenario 13.16?

A) Gelato is a dominant strategy for both firms.
B) Yogurt is a dominant strategy for Gooi only.
C) Yogurt is a dominant strategy for Ici only.
D) Yogurt is a dominant strategy for both firms.
E) There are no dominant strategies in the above game.