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Suppose 1 chooses “low” then best response of 2 will be to choose “yes”. Now consider the other way round if 2 chooses “yes” then 1’s best response will be “low”. So neither of two would want to deviate. Applying the same logic to other points we deduce {low, yes} is the only Nash Equilibrium.
A movement along a demand curve indicates that a different quantity is being demanded
This movement is due to
Under perfect competition, the long-run equilibrium of the firm is established at
Economics of scale means
When the economist speaks of an increase in demand, he is usually referring to a ____________________
If the firms under perfect competition have different costs, abnormal profits can be earned in the long run only by
Statement “Price is the amount of money and/or other item with utility needed to acquire a product" is given by
Concept of 'Consumer's Surplus' was evolved by
From the resource allocation point of view, perfect competition is preferable because
In a typical demand schedule, quantity demanded varies
Market demand for any good is a function of the
