Which firm has a dominant strategy? (2) What strategy should each firm follow?

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Which firm has a dominant strategy? (2) What strategy should each
firm follow?

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Auctions can be an important tool for selling goods and gathering information. Auctions are used in multiple venues including agriculture, eBay, and distressed asset sales. The seller does not have to worry about estimating demand and setting a price because the demanders will do that through the auction process. Write an essay examining the value of auctions in the economy by addressing the following items.  Explain the difference between oral auctions and second-price auctions, including how they work and their results.  Use the expected value information to illustrate how having more bidders in an oral auction will likely result in a higher winning bid.  Explain how the number of bidders in a common value auction affects the outcome of the auction. Relate this to the effect on price in different market structures based on the number of producers.  Auctions lead to outcomes where buyers reveal their value for the products being auctioned. To successfully price discriminate, firms often rely on buyers revealing their value for products. Explain the conditions necessary for firms to be able to price discriminate.
If a cost-minimizing firm sells its services in an oligopolistic market, with a marginal product of capital of 10, a rental rate of capital of $5, and a wage rate of $20, what is the marginal product of labor? 1.4 2.20 3.40 4.60 5.80
In the text, we calculated the change in real GDP in the hypothetical economy of Table 23 , are used to calculate real GDP do affect the calculated growth rate, but typically not by using the prices of 2005. Calculate the change in real GDP between 2005 and 2010 using the same data but the prices of 2010 . Your answer should demonstrate that the prices that very much. TABLE 2-3 Real and Nominal GDP, an Illustration * Skittles 1 at $0.50 0.50 3 at $0.75 2.25 3 at $0.50 1.50 $1.50 $6.25 $3.50 Beer 1 at $1.00 $1.00 2 at $2.00 $4.00 2 at $1.00$2.00 2005 NOMINAL GDP 2012 NOMINAL GDP 2012 REAL GDP * Measured in 2005 prices.
Criteria Investment X InvestmentY NPV R44 000 −R22 000 PI 1,945 0,071 IRR 16,00% 8,04% Which investment(s) should you choose, taking all the above criteria into consideration, if the cost of capital is equal to 12% per year? [1] X [2] Y [3] Both X and Y [4] Neither X nor Y [5] Too little information to make a decision
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Which of the following could account for a change in equilibrium to price P3 and quantity Q3? A. A cost-saving technological innovation in the production of the good, combined with an increase in demand. B. An increase in supply, combined with a decrease in the price of a substitute C. An increase in income (assuming the good is a normal good), combined with a decrease in supply D. A decrease in demand
Illustrate consumer and producer surpluses with demand and supply diagrams and explain how to maximize the total surplus (consumer surplus + producer surplus) at the equilibrium level.
The model YI=A +B1X1I +B2X2I +B3X3I +UIis to be estimated from a sample of 20 observations. Using the information below obtain the OLS estimate of the parameters of the above model. (X/X)-1 =0.1, -0.12, -0.03 ( -0.12 -0.03, 0.04 0.02, 0.02 0.08) XY=(10,000, 20,300, 10100, 30200) ∑_X1_ =400, ∑_X2= 200 and _∑_X3= 600_ Where x=xi - xi, and y= yi-yi