Use the Following to Answer Questions

question 238

Multiple Choice

Use the following to answer questions:
-(Table: Demand Schedule for Gadgets) Look at the table Demand Schedule for Gadgets. The market for gadgets consists of two producers, Margaret and Ray. Each firm can produce gadgets with no marginal cost or fixed cost. Suppose that these two producers have formed a cartel, agreed to split production of output evenly and are maximizing total industry profits. If Margaret decides to cheat on the agreement and sell 100 more gadgets, the market price of gadgets will be:

• A) $4.
• B) $5.
• C) $6.
• D) $7.

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Definitions:

Social Scripts

Predefined, stereotyped sequences of actions or behaviors that individuals follow in specific social contexts.

Environment

The environment or the conditions under which a person, animal, or plant exists or functions.

Culture

The social behavior, norms, knowledge, beliefs, arts, laws, customs, capabilities, and habits of the individuals in these groups.

Genes

Units of heredity made up of DNA, responsible for governing characteristics and traits passed from parents to offspring.