Author Question: If a game contains private information, then A) the game's outcome is affected. B) firms will ... (Read 74 times)

casperchen82 · **on:** Jul 1, 2018

If a game contains private information, then

A) the game's outcome is affected.
B) firms will engage in cheap talk to coordinate their actions.
C) players will decide not to play the game.
D) third-party negotiations are necessary to resolve the information gap.

Question 2

If price support policy increases producer surplus more than reducing consumer surplus, then

A) the policy leads to a Pareto-superior allocation.
B) the policy leads to an increase in social welfare.
C) the policy improves the efficiency of society.
D) None of above.