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ECON-1002-4/MGMT-3503-4-Microeconomics Week 5 Quiz

  1. An industry in which a small number of large firms sell products that are either close or perfect substitutes is:
  2. Which of the following characteristics distinguishes an imperfectly competitive industry from a perfectly competitive industry?
  3. As a result of economies of scale, as output expands:
  4. Suppose when a firm produces 1,000 units their total costs equal $5 million. When they produce 2,000 units their total costs equal $9 million. Which of the following statements is true regarding this firm?
  5. Price discrimination occurs when:
  6. As a result of the hurdle method of price discrimination:
  7. Game theory helps to understand the behavior of firms:
  8. A strategy that yields a higher payo” no matter what the other players in the game choose is known as a:
  9. A prisoner’s dilemma occurs when:
  10. A way of changing incentives so as to make promises credible is known as:

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