The Strategy for the Bertrand Model Is

question 5

Multiple Choice

The strategy for the Bertrand model is

• A)To sell a marginally higher quantity of goods than the rival
• B)To sell at a marginally lower price than the rival but not below marginal cost
• C)Collusion
• D)To take account of the effect of its own behavior on the rival firm's quantity choice

---

Definitions:

Red Scare

A period of intense anti-communist suspicion in the United States that occurred in the early 20th century, characterized by fears of widespread communist influence on American institutions and espionage by Soviet agents.

United States

A country primarily located in North America, consisting of 50 states, a federal district, five major self-governing territories, and various possessions.

Archduke Franz Ferdinand

Heir presumptive to the Austro-Hungarian throne whose assassination in 1914 triggered World War I.