A Simultaneous Game Is Said to Exist When

question 236

Multiple Choice

A simultaneous game is said to exist when

• A)firms are playing pricing games in different markets at the same time.
• B)firms choose their strategies at the same time as their rivals.
• C)firms can set multiple prices for the same good at the same time.
• D)strategies are set without regard to possible interactions in future time periods.

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Definitions:

Causal Relations

The relationship between cause and effect, where one event (the cause) leads to the outcome of another event (the effect).

Third Variables

Factors that are not directly involved in the research hypothesis but can influence the relationship between the variables being studied.

Confounds

Variables other than the independent variable that may cause an effect in an experimental design, thus confusing the results.

Random Assignment

A method used in experiments where participants are randomly placed into either the control or experimental group to ensure that each group is similar at the start.