In Class Practice Problems 2-2 2

7. Graphically depict how variable ticket pricing leads to sports teams charging different prices for different games? Explain and clearly label your graph.

8) What is a discount rate? Why are they important in repeated games? What factors influence an actor's discount rate?

1. compare the quantity and price of an oligopoly to those of a monopoly 2. compare the quantity and price of an oligopoly to competitive market

1. How would you characterize the strategy for competing internationally that Ford was pursuing prior to the arrival of Alan Mulally in 2006? What were the benefits of this strategy? What were the costs? Why was Ford pursuing this strategy? 2. What strategy is Mulally trying to get Ford to pursue with his One Ford initiative? What are the benefits of this strategy? Can you see any drawbacks? 3. Does the One Ford initiative imply that Ford will now ignore national and regional differences in demand?

I NEED IT BY NOW! plsss Note:- Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism. Answer completely. You will get up vote for sure.

No written by hand solution

Game theory Nash equilibrium 1. A slight increase in the marginal cost of a firm definitely leads to a reduction in its output if the firm competes in the: A. Sweezy fashion. B. Cournot fashion. C. Bertrand fashion. D. Cournot fashion and Bertrand fashion. Please explain your answer 2. The market for widgets consists of two firms that produce identical products. Competition in the market is such that each of the firms independently produces a quantity of output, and these quantities are then sold in the market at a price that is determined by the total amount produced by the two firms. Firm 2 is known to have a cost advantage over firm 1. A recent study found that the (inverse) market demand curve faced by the two firms is P = 280 – 2(Q1 + Q2), and costs are C1(Q1) = 3Q1 and C2(Q2) = 2Q2. a. Determine the marginal revenue for each firm. b. Determine the reaction function for each firm.

J 7 According to the chapter in The Handbook on the Economics of Sport, what difference would it make if teams are profit maximizers or win maximizers?

Subject: Manegerial economics & policy c) Which effect dominates, the price effect or the quality effect of a price change if demand isupward sloping? d) Why might demand be downward sloping in a market with imperfect information eventhough the market is otherwise perfectly competitive? e) Why are focal points important for noncooperative games?

15. Match the description provided in the bank of options with the appropriate concept in the second table. Bank of options Letter A Consumers agree X is prefered to Y when both have equal prices Consumer preferences are changed Consumers obtain more information about product characteristics Consumers are targeted with advertising Characteristic that is consumed as complementary to product itself One time cost to enter an industry changes when the market size increases A firm that is a leader obtains a higher profit in a dynamic game One time cost to enter an industry is treated as a parameter of model A firm that is a follower obtains a higher profit in a dynamic game Consumers do not agree X is prefered to Y when both have equal prices Industry with monopoly and perfect competition characteristics An empirical model used to estimate product differentiation В C E F G H I J K Concept Second mover advantage First mover advantage Vertical product differentiation Horizontal product…

Game Theory

22.What is the equilibrium to this game (or equilibria, if more than one)? (a) Both the US and Soviet Union stand firm (b) Both the US and Soviet Union back down (c) The US stands firm and the Soviet Union backs down (d) The US backs down and the Soviet Union stands firm (a) and (b) (c) and (d)

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ASAP PLZ The NHL faces a market demand curve given by P = 25000 – 0.005Q and a new rival league, the World Hockey League (WHL), is threatening to enter the market. Assume that both leagues face only fixed costs and they each have Cournot conjectures. After the WHL enters the market, work through the first four rounds of strategic pricing and output moves. Show your work with the help of a table (Round 1 - 4; Quantity and price for each firm and for Round 1 - 4)

practice 9   [LEARN-APPLY] A Firm Entry Game with Sequential Moves, Drawing Game Tree, Finding Rollbak Equilibrium / Subgame Perfect Equilibrium   S4. Consider the rivalry between Firm A and Firm B to develop a new commercial jet aircraft. Suppose Firm B is ahead in the development process and Firm A is considering whether to enter the competition. - If Firm A stays out, it earns zero profit, whereas Firm B enjoys a monopoly and earns a profit of $1000 million. - If Firm A decides to enter and develop the rival airplane, then Firm B has to decide whether to accommodate Firm A peaceably or to fight by starting a price war. In the event of peaceful competition, each firm will make a profit of $300 million. If there is a price war, each will lose $100 million because the prices of airplanes will fall so low that neither firm will be able to recoup its development costs.   Source: Chapter 3, Games of Strategy, by Avinash Dixit, Susan Skeath, David H. Reiley, 3rd edition, W.W. Norton &…

2. Find the Nash equilibrium of the game below: Firm B Low Price Medium Price High Price a. Low Price 4,4 6,3 8,2 Firm A Medium Price High Price 3,6 5.5 4,3 2,8 3,4 3,3

The definition of Game Theory is: Game Theory is a field of mathematics that analyzes strategic-interaction between rational, self-interested players. Give an example of a situation that can be considered a game from the perspective of game theory. You can choose this example from your experience or you can consider a hypothetical scenario. Use your own imagination and make sure this is not any famous or known example used in game theory. 1. What is happening in this game? 2. Who are the players in this game? 3. What are the possible actions for each player? 4. Represent the game in normal form with the utilities you have mentioned in the description of the game. 5. Justify the utilities you have assigned. 6. Find the best responses of each player.

Question: Which strategies are the dominant ones for Spotify and Joox? (Kindly please explain as much as possible. Sincerely thanks)

Question. The title of this article is 'English football's Premier League will take a financial hit from the pandemic.' How can we derive this title? The data shows Premier League club's revenue by three sources (matchday, commercial, broadcasting) from 2009/10 to 2020/21 seasons. Lockdown penalty Premier League clubs' revenue by source, Em FORECAST 6,000 IMatchday I Commercial I Broadcasting 5,000 4,000 3,000 2.000 1,000 2009/10 10/11 11/12 12/13 13/14 14/15 15/16 16/17 17/18 18/19 19/20 20/21 Source Deloitte The Economist Source: The Economist (6/16/2020)

Table: Two Rival Gas Stations Speedy Gas High Price. Low Price $100, $100 $150, $25 High Price $25, $150 Swifty Gas Low Price $50, $50 Look at the table Two Rival Gas Stations, which shows a payoff matrix for two gas stations in a small town. Each firm can set either a high price or a low price, and customers view these two firms as nearly perfect substitutes. Profits in each cell of the payoff matrix are given as (Swifty, Speedy). If both firm know that they will play the same game repeatedly for many time, both of them will choose tit-for-tat strategy. After they play the game for 10 times, what will be the Speedy Gas's total payoff for the 10 times: O $100 O $500 O $1500 O $150 O None of these options is correct.

1. What do we mean by market power in economics? What are some ways firms can attain market power? How can we, as economists, know when a firm has "too much" market power? Give an example of a firm you think has a lot of market power.2. Chapter 3 is all about game theory. Imagine you are in charge of pricing at a firm that has 20% market share in an industry where the leading firm has 50% market share. Imagine that the leader increases prices on their products. How do you think you would react? Why?

4. Which of the following is a solution of a static game of complete but imperfection information? a. Iterated Elimination b. Nash Equilibrium c. Backwards Induction d. Subgame Perfection

QUESTION 19 It is advantageous for an industry to be designated "strategic," as that often means it can qualify for government subsidies and bailouts.  True  False In assessing and choosing a firm’s strategy, a manager will usually find that benchmarking is:    a. unimportant if there is a well-thought-out strategy.   b. a valuable part of evaluating a firm’s capabilities.   c. the surest way to dilute strengths and magnify weaknesses.   d. likely to be the most successful strategy. How does bounded rationality affect strategic decision making?   a. ​Only with prior experience can managers of multinationals make rational strategy decisions.   b. ​Bounded rationality has no effect on decision making.   c. ​Managers pursue their interests and make choices within the formal and informal constraints in a given institutional framework.   d. ​Relying on informal connections as a strategy is only relevant for firms in emerging economies. Being…

5. The role of brand names and advertising Which of the following statements about expenditures on advertising is true? When a firm spends a large amount of money on advertising, advertising can be construed as a signal of quality. If a firm knows its product is of low quality, it will be willing to spend large amounts of money on advertising. When a firm spends a small amount of money on advertising, this signals that the quality of the good is high. Read the following example and determine whether it illustrates a common critique or defense of advertising. Raphael sees a commercial for a Brand X clothing company that depicts the wearers of the clothes out having a good time with friends. Although he doesn't particularly need new clothes, the commercial prompts him to buy a Brand X t-shirt. This illustrates a common of advertising.

Question 13. Find the equilibrium in this one-shot simultaneous game. Explain your answer. Is the equilibrium Pareto-optimal? Brian Snooker Film Snooker 5,8 2,6 Anna 1,2 Film 4,4

1. Firm A Use the following matrix to answer the following questions. Firm B Strategy A B с D -10, -10 -100, 220 200, 140, -100 180 Assume that this is a simultaneous move one shot game. (a) What is each firm's best response to its rival's possible actions? (i) If Firm A chooses low price what is Firm B's best choice? (ii) If Firm A chooses high price what is Firm B's best action? (iii) If Firm B chooses low price what is Firm A's best choice? (iv) If Firm B chooses high price what is Firm A's best choice? (b) What is Firm A's dominant strategy (if they have one)? (c) What is Firm B's dominant strategy (if they have one)? (d) What is the Nash equilibrium? Refer to the normal-form game of price competition in the payoff matrix below. Firm B Low Price 0,0 Firm A Low Price High Price 50,-10 High Price -10, 50 20, 20 Suppose the game is infinitely repeated, and the interest rate is 10 percent. Both firms agree to charge a high price, provided no player has charged a low price in the past.…

Economics 1. Firms 1 and 2 compete in a Cournot duopoly. If firm 2 adopts a strategy that raises firm 1's marginal cost, Multiple Choice a)firm 1 will reduce its output. b)firm 2 will gain market share. c)firm 2 will enjoy higher profits. d)firm 1 will reduce its output and firm 2 will gain market share and enjoy higher profits.. 2. Firms 1 and 2 compete in a Cournot duopoly. If firm 2 adopts a strategy that raises firm 1's marginal cost, Multiple Choice a)firm 1 will increase its output. b)firm 2 will lose market share. c)firm 1 will enjoy higher profits. d)firm 1 will not increase its output nor enjoy higher profits nor will firm 2 lose market share. **Yes, these are two different questions. Please answer asap. Thank you!**

Is below market is Oligopoly?  Could you please draw a firm diagram to illustrate Foxtel’s business in 2021. Make sure to clearly and adequately label your diagram.   Fast forward to the present day (October 2021), Australian consumers now have a wealth of choices of content offered by Foxtel, Netflix, Stan, Amazon Prime, Apple TV, Disney+, Optus Sport, and the recently launched Paramount+ (launched in August 2021).