Game Theory Is Applicable to Oligopoly Behavior Because Oligopolists

question 195

Multiple Choice

Game theory is applicable to oligopoly behavior because oligopolists

• A) use strategic behavior.
• B) ignore rival firms.
• C) are price takers.
• D) can only be profitable if they collude.

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Definitions:

Self-Esteem

An individual's subjective evaluation of their own worth or value.

Pygmalion Effect

Proposes that leaders’ expectations of followers, and their treatment of them, explain and predict followers’ behavior and performance.

Golem Effect

Loss in performance due to low leader expectations.

Zeigarnik Effect

Deterioration of morale and performance when tasks begun are not completed, which can be prevented by assigning whole tasks and allowing sufficient time for completion.