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

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: