A Locally Owned Spa, Alexander's, Is Interested in Adding a Tea

question 6

Multiple Choice

A locally owned spa, Alexander's, is interested in adding a tea room that not only offers specialty teas but an organic lunch menu.In order to determine how many of its regular customers would be interested in such an addition, Alexander's sent out a short e-mail questionnaire.One question asked its customers to indicate how much they spend monthly on all natural, organic products.These data are _____________________.

• A)cross-sectional
• B)time series
• C)categorical
• D)transactional
• E)experimental

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Definitions:

Stackelberg Duopoly

A market structure in which one firm sets its output first, and the other firm then decides its output level in response, leading to a hierarchical decision-making process.

Strategic Game

A concept in game theory in which players are aware of the strategies of other participants and are making decisions based on predicting the actions of others.

Extensive Form

A way of representing a game in game theory that illustrates the sequence of moves, the knowledge of each player at different points, and their possible strategies.

Herfindahl Index

A measure of market concentration to assess the level of competition, calculated by squaring each firm's market share and then summing the total.