(Consider This) Suppose That Salsa Manufacturers Sell 2 Million Bottles

question 47

Multiple Choice

(Consider This) Suppose that salsa manufacturers sell 2 million bottles at $3.50 in one year and 3 million bottles at $3 in the next year. Based on this information, we can conclude that the

• A) law of supply has been violated.
• B) law of demand has been violated.
• C) demand for salsa has increased.
• D) supply of salsa has increased.

Recognize the existence and characteristics of negative-sum games and the incentives for players.

Identify the conditions under which Nash equilibrium occurs in game theory.

Understand how repeated and sequential games differ and their implications for game strategies.

Analyze the role of credible threats in achieving a Nash equilibrium in repeated games.