Eco 550 final exam Study guides, Class notes & Summaries

ECO 550 Final Exam 3 ECO 550 Final Exam Question 1 5 out of 5 points Evidence from empirical studies of short-run cost-output relationships lends support to the: Answer Selected Answer: hypothesis that total costs increase linearly over the range of output examined Correct Answer: hypothesis that total costs increase linearly over the range of output examined Question 2 5 out of 5 points Break-even analysis usually assumes all of the following except: Answer ...

Question 1 Evidence from empirical studies of long-run cost-output relationships lends support to the: existence of a non-linear cubic total cost function hypothesis that marginal costs first decrease, then gradually increase over the normal operating range of the firm hypothesis that total costs increase quadratically over the ranges of output examined hypothesis that total costs increase linearly over some considerable range of output examined Question 2 Theoretically, in a long-run cost funct...

Question 1 Evidence from empirical studies of long-run cost-output relationships lends support to the: existence of a non-linear cubic total cost function hypothesis that marginal costs first decrease, then gradually increase over the normal operating range of the firm hypothesis that total costs increase quadratically over the ranges of output examined hypothesis that total costs increase linearly over some considerable range of output examined Question 2 Theoretically, in a long-run cost funct...

1. A dominant strategy differs from a Nash equilibrium strategy in that a. Nash equilibrium strategy does not assume best reply responses b. dominant strategy assumes best reply responses c. only Nash strategy applies to simultaneous games d. one dominant strategy is sufficient to predict behavior in a multi-person game e. Nash strategy is often unique 2. A key to analyzing subgame perfect equilibrium strategy in sequential games is a. predictable behavior b. an explicit order of play for at lea...

ECO 372 Final Exam Guide / ECO372 Final Exam Guide (Latest, 2019) 1. Martha lends $200 to a friend who promises to return it after a year. Instead of lending it to her friend, Martha could have put the money in a bank where she could have earned an interest rate of 2 percent per annum. Martha’s opportunity cost of lending the money is _____. A.$2 B.$204 C.$200 D. $4 2 The exhibit given below shows the short-run aggregate demand and supply curves in an economy, AD1 and AS1, and the long-run ...

Question 1 Evidence from empirical studies of long-run cost-output relationships lends support to the: existence of a non-linear cubic total cost function hypothesis that marginal costs first decrease, then gradually increase over the normal operating range of the firm hypothesis that total costs increase quadratically over the ranges of output examined hypothesis that total costs increase linearly over some considerable range of output examined Question 2 Theoretically, in a long-run cost funct...

Question 1 In a game, a dominated strategy is one where: It is always the best strategy It is always the worst strategy It is the strategy that is the best among the group of worst possible strategies. Is sometimes the best and sometimes the worst strategy Question 2 To trust a potential cooperator until the first defection and then never cooperate thereafter is a dominant strategy an irrational strategy a grim trigger strategy a non-cooperative finite game strategy a subgame imperfect strategy ...

Question 1 Evidence from empirical studies of long-run cost-output relationships lends support to the: existence of a non-linear cubic total cost function hypothesis that marginal costs first decrease, then gradually increase over the normal operating range of the firm hypothesis that total costs increase quadratically over the ranges of output examined hypothesis that total costs increase linearly over some considerable range of output examined Question 2 Theoretically, in a long-run cost funct...

Evidence from empirical studies of short-run cost-output relationships lends support to the: Answer Selected Answer: hypothesis that total costs increase linearly over the range of output examined Correct Answer: hypothesis that total costs increase linearly over the range of output examined Question 2 5 out of 5 points Break-even analysis usually assumes all of the following except: Answer Selected Answer: in the short run, there is no distinction between vari...

Question 1 Evidence from empirical studies of long-run cost-output relationships lends support to the: existence of a non-linear cubic total cost function hypothesis that marginal costs first decrease, then gradually increase over the normal operating range of the firm hypothesis that total costs increase quadratically over the ranges of output examined hypothesis that total costs increase linearly over some considerable range of output examined Question 2 Theoretically, in a long-run cost funct...