The Table Below Shows the Payoff (Profit) Matrix of Firm

question 47

Multiple Choice

The table below shows the payoff (profit) matrix of Firm A and Firm B indicating the profit outcome that corresponds to each firm's pricing strategy (where $500 and $200 are the pricing strategies of two firms) .Table 12.2

-When all the costs and benefits of a transaction are borne by the participants of that transaction, _____.

• A)the market outcome will be inefficient
• B)the private costs and social costs are identical
• C)negative externalities exist
• D)positive externalities exist
• E)the free rider problem arises

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Definitions:

Otoscope

A medical instrument designed for examining the ear canal and eardrum.

Stethoscope

An instrument used in auscultation to convey to the ear the sounds produced by the body.

Spirometer

A device used to measure the amount of air inhaled and exhaled from the lungs, commonly used in pulmonary function tests.

Tuning Fork

A metal instrument that, when struck, produces a sound of a specific pitch, used in medical exams to assess hearing and vibration sensation.