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

question 7

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

-The existence of externalities in a market implies that:

• A)resources are being used efficiently.
• B)there is no other allocation of resources that would make society as a whole better off.
• C)consumers cannot be excluded from consuming the good once it is provided.
• D)resources are not being used in their highest valued activity.
• E)the social welfare is maximized.

---

Definitions:

Acidic Hydrogen

A hydrogen atom bonded to an electronegative atom, making it easily released as a proton (H+).

AntiAromatic

Refers to a cyclic, conjugated compound with an odd number of pairs of pi electrons that does not follow Huckel's rule, often making it less stable.

π Network

A system of connected π bonds, allowing delocalized electron movement across molecule segments.

Sulfur Atom

A chemical element with the atomic number 16, known for its yellow color and presence in many essential biochemicals and minerals.