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In economics the central problem is:

scarcit#. allocation. mone#. consumption. production.

Indicate below what is NOT a factor of production.

Capital. !an" loan.

$and. $a!our.

Macroeconomics deals with:

the !ehaviour of the electronics industr#. the !ehaviour of firms. the activities of individual units. economic aggregates.

Microeconomics is not concerned with the behaviour of:

industries. aggregate demand. firms. consumers.

The study of inflation is part of :

descriptive economics. microeconomics. normative economics. macroeconomics.

Aggregate supply is the total amount:

of goods and services produced in an econom#. of products produced !# a given industr#. of la!our supplied !# all households. produced !# the government.

The total demand for goods and services in an economy is known as:
gross national product. aggregate demand. econom#-wide demand. national demand.

Inflation is:
an increase in the overall level of economic activit#. an increase in the overall price level. a decrease in the overall level of economic activit#. a decrease in the overall price level.

A recession is:
a period during which aggregate output declines.

a period of declining unemplo#ment. a period of declining prices. a period of ver# rapidl# declining prices.

nemployment means that:

at the going wage rate% there are people who want to wor" !ut cannot find wor". people are not willing to wor" at the going wage rate. there is e&cess demand in the la!our mar"et. there are some people who will not wor" at the going wage rate.

If marginal benefit is greater than marginal cost! a rational choice involves:

more of the activit#. more or less% depending on the !enefits of other activities. no more of the activit#. less of the activit#.

A student chooses to study because the marginal benefit is greater than the """""""" cost.
e&pected average

marginal total

The concept of opportunity cost:

is relevant onl# for a capitalist econom# li"e the 'nited (tates. suggests all our wants can !e achieved. suggests a ma)or increase in pu!lic health-care spending means an e&pansion in other areas will !e harder to achieve. would !e irrelevant if we eliminated povert#.

Opportunity cost is
the cost incurred in the past !efore we ma"e a decision a!out what to do in the future. a cost that cannot !e avoided% regardless of what is done in the future. that which we forgo% or give up% when we ma"e a choice or a decision. the additional !enefit of !u#ing an additional unit of a product.

A graph showing all the combinations of goods and services that can be produced if all of society#s resources are used efficiently is a:
capital consumption frontier.

production possi!ilit# curve. circular-flow diagram. $oren* curve.

$eriods of less than full employment correspond to:

points outside the production possi!ilit# curve. points inside the production possi!ilit# curve. either points inside or outside the production possi!ilit# curve. points on the production possi!ilit# curve.

The circular flow of goods and incomes shows the relationship between:
wages and salaries. goods and services. income and mone#. firms and households.

In a free market system! the amount of goods and services that any one household gets depends upon its:
wage and interest income. income and wealth. wealth.

income.

In a planned or command economy! all the economic decisions are taken by the:
government. consumers. wor"ers. voters.

%hich one of the following is a normative statement&

+ne,ualit# in the distri!ution of income is a more serious pro!lem than unemplo#ment. +nflation is rising. -he proportion of people.s income paid in ta&es is higher under this government than under the previous one. -he richest /0 per cent of the population has had a !igger percentage increase in incomes over the past /0 #ears than the poorest /0 per cent.

/. 0 n 1n,uir# into the 2ature and Causes of 3ealth of 2ations4 is the !oo" of economist5 6 7 dam (mith 687 9arshall 6C7 :o!!ins 6;7 2one of a!ove ns : 6 7

<. 01conomics is the (cience of 3ealth4 who gave this definition = 6 7 >. ?. 9ehta 687 9arshall 6C7 dam (mith 6;7 :o!!ins ns : 6C7 @. 01conomics is what economists do.4 +t has !een supported !#5 6 7 :ichard >ones 687 Comte 6C7 Aunnar 9#rdal 6;7 ll of the a!ove ns : 6;7 B. 0Cuman 3elfare is the su!)ect of 1conomics.4 -his statement is associated with the name of which of the economists = 6 7 9arshall 687 Digou 6C7 Denson 6;7 ll of the a!ove ns : 6;7 5. 3ho has given scarcit# definition of economics = 6 7 dam (mith 687 9arshall 6C7 :o!!ins 6;7 :o!ertson ns : 6C7

E. 01conomics is a science4 the !asis of this statement is5 6 7 :elation !etween cause and effect 687 'se of deductive method and inductive method for the formations of laws 6C7 1&periments 6;7 ll of the a!ove ns : 6;7 7. Characteristics of economic laws are5 6 7 9ere statements of economic tendencies 687 $ess certain 6C7 C#pothetical 6;7 ll of the a!ove ns : 6;7 8. 3hich theor# is generall# included under micro economics = 6 7 Drice -heor# 687 +ncome -heor# 6C7 1mplo#ment -heor# 6;7 2one of the a!ove ns : 6 7 9. 3hose opinions have revolutionised the scope of macro economics = 6 7 dam (mith 687 >.8. (a# 6C7 >.9. ?e#nes 6;7 ll of the a!ove ns : 6C7

/0. 3hich of the following is an economic activit# = 6 7 -eaching of a teacher in the school 687 -o teach son at home 6C7 -o serve her child !# mother 6;7 -o pla# foot!all !# a student ns : 6 7 //. Dassive factor of production is5 6 7 Fnl# land 687 Fnl# capital 6C7 8oth land and capital 6;7 2either land nor capital ns : 6C7 /<. 'nder law of demand5 6 7 Drice of commodit# is an independent varia!le 687 Guantit# demanded is a dependent varia!le 6C7 :eciprocal relationship is found !etween price and ,uantit# demanded 6;7 ll of the a!ove ns : 6;7 /@. Hor inferior commodities% income effect is5 6 7 Iero 687 2egative 6C7 +nfinite 6;7 Dositive ns : 687 /B. 3hen total utilit# !ecomes ma&imum% then marginal utilit# will !e

5 6 7 9inimum 687 verage 6C7 Iero 6;7 2egative ns : 6C7 /5. 'tilit# means5 6 7 Dower to satisf# a want 687 'sefulness 6C7 3illingness of a person 6;7 Carmfulness ns : 6 7 /E. 9arginal utilit# is e,ual to average utilit# at that time when average utilit# is5 6 7 +ncreasing 687 9a&imum 6C7 Halling 6;7 9inimum ns : 687 /7. t point of satiet#% marginal utilit# is5 6 7 Iero 687 Dositive 6C7 9a&imum 6;7 2egative ns : 6 7 /8. 3hich of the following is the second law of Aossen =

6 7 $aw of e,ui-marginal utilit# 687 $aw of e,ui-product 6C7 -heor# of indifference curve 6;7 $aw of diminishing marginal utilit# ns : 6 7 /9. -otal utilit# of a commodit# is measured !# which price of that commodit# = 6 7 Jalue in use 687 Jalue in e&change 6C7 8oth of a!ove 6;7 2one of a!ove ns : 6 7 <0. ccording to 9arshall% the !asis of consumer surplus is5 6 7 $aw of diminishing marginal utilit# 687 $aw of e,ui-marginal utilit# 6C7 $aw of proportions 6;7 ll of the a!ove ns : 6 7 @. 01conomics is what economists do.4 +t has !een supported !#5 6 7 :ichard >ones 687 Comte 6C7 Aunnar 9#rdal 6;7 ll of the a!ove ns : 6;7 B. 0Cuman 3elfare is the su!)ect of 1conomics.4 -his statement is associated with the name of which of the economists =

6 7 9arshall 687 Digou 6C7 Denson 6;7 ll of the a!ove ns : 6;7 5. 3ho has given scarcit# definition of economics = 6 7 dam (mith 687 9arshall 6C7 :o!!ins 6;7 :o!ertson ns : 6C7 /. ;eficit financing increases5 6 7 :ate of mone# inflation 687 :ate of mone# deflation 6C7 :ate of devaluation 6;7 ll of the a!ove ns : 6 7 <. 3hich is not a monetar# measure to control inflation = 6 7 (oft loan polic# 687 Card credit polic# 6C7 -ight the regulation of mone# issue 6;7 -o reduce the ,uantit# of mone# ns : 6 7 @. 3hich is the monetar# measure to control inflation = 6 7 +ncrease in ta&ation 687 ;ecrease in ta&ation 6C7 (oft credit polic#

6;7 Card credit polic# ns : 6;7 B. (elling of securities in the open mar"et !# the central !an" creates5 6 7 +nflation 687 ;eflation 6C7 8oth of a!ove 6;7 2one of the a!ove ns : 687 5. -o control inflation the central !an" should do5 6 7 -o sell government securities and to decrease !an" rate 687 -o sell government securities and to increase !an" rate 6C7 -o purchase government securities and to increase !an" rate 6;7 -o purchase government securities and to decrease !an" rate ns : 687 /. 3hich of the rate is not determined !# :eserve 8an" of +ndia = 6 7 8an" :ate 687 C:: 6C7 ($: 6;7 D$: ns : 6;7 <. //th Dlan ;raft ;ocument as approved !# Dlanning Commission presents a target of BK annual growth for agriculture. Hor industr# and service sector growth rate has !een targeted !etween5 6 7 7 to 9K 687 8 to /0K 6C7 9 to //K

6;7 /0 to /5K ns : 6C7 /. Hiscal ;eficit means5 6 7 Du!lic 1&penditure5;e!ts froms sources other than :8+ 687 Du!lic Capital 1&penditure5(urplus of :evenue ccount 6C7 Aovt. 1&penditure5:evenue receipts 6;7 Du!lic 1&penditure5-a& and non-ta& revenue receipts ns : 6;7 /. J - is imposed5 6 7 ;irectl# on consumer 687 Fn final stage of production 6C7 Fn first stage of production 6;7 Fn all stages !etween production and final sale ns : 6;7 E. 01conomics is a science4 the !asis of this statement is5 6 7 :elation !etween cause and effect 687 'se of deductive method and inductive method for the formations of laws 6C7 1&periments 6;7 ll of the a!ove ns : 6;7 7. Characteristics of economic laws are5 6 7 9ere statements of economic tendencies 687 $ess certain 6C7 C#pothetical 6;7 ll of the a!ove ns : 6;7

8. 3hich theor# is generall# included under micro economics = 6 7 Drice -heor# 687 +ncome -heor# 6C7 1mplo#ment -heor# 6;7 2one of the a!ove ns : 6 7 9. 3hose opinions have revolutionised the scope of macro economics = 6 7 dam (mith 687 >.8. (a# 6C7 >.9. ?e#nes 6;7 ll of the a!ove ns : 6C7 /0. 3hich of the following is an economic activit# = 6 7 -eaching of a teacher in the school 687 -o teach son at home 6C7 -o serve her child !# mother 6;7 -o pla# foot!all !# a student ns : 6 7 //. Dassive factor of production is5 6 7 Fnl# land 687 Fnl# capital 6C7 8oth land and capital 6;7 2either land nor capital ns : 6C7 /<. 'nder law of demand5

6 7 Drice of commodit# is an independent varia!le 687 Guantit# demanded is a dependent varia!le 6C7 :eciprocal relationship is found !etween price and ,uantit# demanded 6;7 ll of the a!ove ns : 6;7 /@. Hor inferior commodities% income effect is5 6 7 Iero 687 2egative 6C7 +nfinite 6;7 Dositive ns : 687 /B. 3hen total utilit# !ecomes ma&imum% then marginal utilit# will !e 5 6 7 9inimum 687 verage 6C7 Iero 6;7 2egative ns : 6C7 /5. 'tilit# means5 6 7 Dower to satisf# a want 687 'sefulness 6C7 3illingness of a person 6;7 Carmfulness ns : 6 7 /E. 9arginal utilit# is e,ual to average utilit# at that time when average

utilit# is5 6 7 +ncreasing 687 9a&imum 6C7 Halling 6;7 9inimum ns : 687 /7. t point of satiet#% marginal utilit# is5 6 7 Iero 687 Dositive 6C7 9a&imum 6;7 2egative ns : 6 7 /8. 3hich of the following is the second law of Aossen = 6 7 $aw of e,ui-marginal utilit# 687 $aw of e,ui-product 6C7 -heor# of indifference curve 6;7 $aw of diminishing marginal utilit# ns : 6 7 /9. -otal utilit# of a commodit# is measured !# which price of that commodit# = 6 7 Jalue in use 687 Jalue in e&change 6C7 8oth of a!ove 6;7 2one of a!ove ns : 6 7 <0. ccording to 9arshall% the !asis of consumer surplus is5

6 7 $aw of diminishing marginal utilit# 687 $aw of e,ui-marginal utilit# 6C7 $aw of proportions 6;7 ll of the a!ove ns : 6 7 /8. 1conomics is the stud# of a. how societ# manages its unlimited resources. !. how to reduce our wants until we are satisfied. c. how societ# manages its scarce resources. d. how to full# satisf# our unlimited wants. e. how to avoid having to ma"e trade-offs. <5. 3hich of the following products would !e least capa!le of producing an e&ternalit#= a. inoculations against disease !. cigarettes c. food d. education e. stereo e,uipment <E. 3hich of the following situations descri!es the greatest mar"et power= a. (u!aruLs impact on the price of cars !. a farmer.s impact on the price of corn c. 9icrosoft.s impact on the price of des"top operating s#stems d. a student.s impact on college tuition <7. 3hich of the following statements is true a!out a mar"et econom#= 3ith a. a large enough computer% central planners could guide production more efficientl# than mar"ets. an invisi!le hand !. to produce outcomes that ma&imi*e social welfare. c. -he strength of a mar"et s#stem is that it tends to distri!ute

resources evenl# across consumers. d.-a&es help prices communicate costs and !enefits to producers and consumers. /. Change in which of the following is the !est indicator of the change in the standard of living of the people of a countr#= 6 7 Cost of living inde& 687 +nde& of industrial productivit# 6C7 Der capita income 6;7 3holesale price inde& ns : 6C7
1conomics is the stud# of A' production technolog# (' consumption decisions )' how societ# decides what% how% and for whom to produce *' the !est wa# to run societ#

resource is scarce if suppl# e&ceeds demand at *ero price A' -:'1 (' H $(1

, -he opportunit# cost of a good is

A' the time lost in finding it (' the ,uantit# of other goods sacrificed to get another unit of that good )' the e&penditure on the good *' the loss of interest in using savings

mar"et can accuratel# !e descri!ed as A' a place to !u# things (' a place to sell things

)' the process !# which prices ad)ust to reconcile the allocation of resources *' a place where !u#ers and sellers meet

command econom# decides resource allocation !# government planning A' -:'1 (' H $(1

/ +n a free mar"et __________ ___________

A' governments intervene (' governments plan production )' governments interfere *' prices ad)ust to reconcile scarcit# and desires

0 +n the mi&ed econom#

A' economic pro!lems are solved !# the government and mar"et (' economic decisions are made !# the private sector and free mar"et )' economic allocation is achieved !# the invisi!le hand *' economic ,uestions are solved !# government departments economics studies o!)ective e&planations of the wor"ings of the 1 Dositive econom# A' -:'1 (' H $(1

2 2ormative economics forms ___________ !ased on _____________

A' positive statements% facts (' opinions% personal values )' positive statements% values *' opinions% facts

34 9icroeconomics is concerned with

A' the econom# as a whole

(' the electronics industr# )' the stud# of individual economic !ehaviour *' the interactions within the entire econom#

33 9acroeconomics is the stud# of ___________________

A' individual !uilding !loc"s in the econom# (' the relationship !etween different sectors of the econom# )' household purchase decisions *' the econom# as a whole

3+

n economic model is a ph#sical representation of an econom# A' -:'1 (' H $(1

3, ;ata are important in economics !ecause __________ and __________

A' the# suggest relationships for e&planation% allow testing of h#potheses (' the# can !e used for ta!les% the# can !e graphed )' the# can !e used in computers% governments use them *' the# provide interesting information% can !e summarised

3- -ime series data show information

A' a!out the same point in time over different places (' a!out different points in time over the same varia!le )' a!out different varia!les over different places *' a!out different points in time over different places

3. +nde& num!ers e&press !ase data in relation to some relative value

A' -:'1 (' H $(1

3/ -he retail price inde& is used to ______________

A' construct price lists (' compare shop prices )' measure changes in the cost of living *' none of the a!ove

30

real value can !e derived from a nominal value !# A' ad)usting for changes over time (' ad)usting for data collection errors )' ad)usting for population changes *' ad)usting for changes in prices

find the percentage change in a num!er% divide the a!solute change !# the 31 -o original num!er and multipl# !# /00 A' -:'1 (' H $(1 #our income during one #ear is M/0%000 and the following #ear it is M/<%000% 32 +f then it has grown !# A' <0K (' <K )' /<K *' /EK

+4

straight-line diagram can !e drawn "nowing the ______ and _________ A' vertical a&is and hori*ontal a&is (' intercept and slope )' scale and slope *' intercept and scale

+3 Fn a graph% a positive linear relationship

A' moves down to the right (' moves up to the left )' moves up to the right

*' moves down to the left the diagram of a line shows that lower values on the vertical scale are ++ +f associated with higher values on the hori*ontal scale% this is an e&ample of _____________ A' a nonlinear relationship (' a positive linear relationship )' a scatter diagram *' a negative linear relationship we "now the ,uantit# of a product that !u#ers wish to purchase at each +, 3hen possi!le price% we "now A' ;emand (' (uppl# )' 1&cess demand *' 1&cess suppl#

+- (uppl# is the ,uantit# of a good sellers wish to sell each time the mar"et opens
A' -:'1 (' H $(1 e,uili!rium price clears the mar"etN it is the price at which ________ +. -he _________ A' 1ver#thing is sold (' 8u#ers spend all their mone# )' Guantit# demanded e,uals ,uantit# supplied *' 1&cess demand is *ero 5' c and d

+/ 3hen a mar"et is in e,uili!rium

A' Guantit# demanded e,uals ,uantit# supplied (' 1&cess demand and e&cess suppl# are *ero )' -he mar"et is cleared !# the e,uili!rium price *' ll of the a!ove

+0 ________ and ________ do not directl# affect the demand curve

A' the price of related goods% consumer incomes (' consumer incomes% tastes )' the costs of production% !an" opening hours *' the price of related goods% preferences

+1 +2

change in price can cause a shift of a demand curve A' -:'1 (' H $(1 demand curve can shift !ecause of changing A' incomes (' prices of related goods )' tastes *' all of the a!ove

,4

suppl# curve is directl# affected !# A' technolog# (' input costs )' government regulation *' all of the a!ove

,3

n increase in price will cause a suppl# curve to shift to the left A' -:'1 (' H $(1

a price increase of good ,+ +f good 8 is a

increases the ,uantit# demanded of good 8% then

A' su!stitute good (' complementar# good )' !argain *' inferior good

n increase in consumer income will increase demand for a _______ !ut ,, decrease demand for a _________ A' su!stitute good% inferior good (' normal good% inferior good )' inferior good% normal good *' normal good% complementar# good

,- Drice ceilings are imposed increase price a!ove the free mar"et e,uili!rium price
A' -:'1 (' H $(1 -he price elasticit# of demand measures ________________ A' the responsiveness of ,uantit# demanded to a change in price (' how far a demand curve shifts )' a change in price *' a change in ,uantit# demanded

+f demand is ___________ then price cuts will __________ spending A' inelastic% increase (' elastic% increase )' elastic% decrease *' none of the a!ove

, -

-he cross-price elasticit# of demand measures how the ,uantit# demanded of one good is related to consumer income A' -:'1 (' H $(1 Dositive cross-elasticities suggest that goods are _________ and negative cross-elasticities that goods are __________ A' su!stitutes% inferior

(' normal% complements )' su!stitutes% complements *' normal% inferior

measurement showing how ,uantit# demanded varies with income is the A' price elasticit# of demand (' cross-price elasticit# of demand )' !udget elasticit# of demand *' income elasticit# of demand

+nferior goods have ___________ and lu&ur# goods have ____________ A' negative income elasticities% income elasticities greater than / (' income elasticities greater than /% negative income elasticities )' positive income elasticities% negative income elasticities *' none of the a!ove +f #our income dou!les and the prices of the goods #ou !u# dou!le% then #our demand for these goods will li"el# ________ A' increase (' not change )' decrease *' shift

1 2

n# price change can !e decomposed into an income effect and a complementar# effect A' -:'1 (' H $(1 -he income effect of a price increase of a normal good is to __________ of that good and the su!stitution effect is to _______ of that good A' increase ,uantit# demanded% reduce

,uantit# demanded (' increase ,uantit# demanded% increase ,uantit# demanded )' reduce ,uantit# demanded% reduce ,uantit# demanded *' reduce ,uantit# demanded% increase ,uantit# demanded

34

-he opportunit# cost of a student is A' Course fees and rent loan from the !an" (' )' 3hat the student could have earned in the !est )o! availa!le !# not stud#ing *' 3hat the student will earn after graduation

33

1conomics assumes that people consume goods and services to achieve A' (tatus (' Drestige )' 'tilit# *' (elf-esteem

3+

-he e&tra utilit# from consuming one more unit of a good is called A' 9arginal utilit# (' dditional utilit# )' (urplus utilit# *' 8onus utilit#

3,

dding up the ,uantities demanded of a good !# different people facing the same price gives us the A' (uppl# curve (' 9ar"et demand curve )' ;emand curve *' 9ar"et suppl# curve

3-

Hirms are assumed to _________ costs and to _________ profits A' incur% desire (' pa#% ma"e )' charge% earn *' minimi*e% ma&imi*e

3.

-he increase in total cost when one more unit is produced is "nown as A' marginal cost (' opportunit# cost )' limited cost *' average cost

3/

9arginal revenue is the _________ when output is ____________ A' change in average revenue% increased (' change in total revenue% increased !# one unit )' change in average revenue% increased !# one unit *' change in total revenue% increased

30

Drofits are ma&imi*ed when _________________ A' costs are minimi*ed (' revenue is ma&imi*ed )' average cost is less than average revenue *' marginal cost e,uals marginal revenue

31

+f a firm is producing a level of output where marginal cost is greater than marginal revenue% it should increase output to ma&imise profits A' -:'1 (' H $(1

32

+f a firm.s wage costs increase this will cause __________ and ________

A' marginal cost to increase% output to fall (' marginal revenue to increase% output to fall )' opportunit# cost to increase% the firm will close *' average cost will rise% output will increase

+4

n upward shift in marginal cost ________output and an upward shift in marginal revenue ________ output A' reduces% reduces (' reduces% increases )' increases% increases *' increases% reduces

+3 ++

firm should close down if profits are *ero A' -:'1 (' H $(1 firm that !rea"s even after all economic costs are paid is earning A' 1conomic profit (' ccounting profit )' 2ormal profit *' (upernormal profit

+,

firm that ma"es profit in addition to normal profit is ma"ing A' 1conomic profit (' ccounting profit )' 2ormal profit *' (upernormal profit

+-

+f !oth marginal cost and marginal revenue increase% a firm __________ A' should increase output (' should reduce output

)' will re,uire further information on how to respond *' should not change output -he suppl# rule of the profit ma&imising monopolist is different from that of a competitive firm A' -:'1 (' H $(1

Comparing a monopol# and a competitive firm% the monopolist will _______________ A' produce less at a lower price (' produce more at a lower price )' produce less at a higher price *' produce less at a lower price

, -

discriminating monopolist will charge a higher price to groups with elastic demand A' -:'1 (' H $(1 Derfect price discrimination means that ever# customer ____________ A' !u#s the same amount (' pa#s the same price )' contri!utes the same revenue *' pa#s what she thin"s the product is worth

monopol# ma# !e self-perpetuating !ecause profits ma# !e used for A' research (' cost-saving )' technical advance

*' all of the a!ove

ll of the following are t#pes of imperfect competition e&cept A' monopolistic competition (' oligopol# )' monopol# *' unfair competition

natural monopol# has a declining ________ over a large range of output A' long run marginal cost (' short run marginal cost )' long run average cost *' long run marginal cost

3hen a mar"et is contesta!le% incum!ent firms must _____________ to avoid the entr# of new competitors A' !ehave li"e competitive firms (' agree to act together )' differentiate their products *' practise price discrimination

2 34

-he long run e,uili!rium in monopolistic competition involves competitors ma"ing e&cess profits A' -:'1 (' H $(1 -he reason for the "in"ed demand curve is that A' -he oligopolist !elieves that competitors will match output increases !ut not output reductions (' -he oligopolist !elieves that competitors will match price increases !ut not output reductions )' -he oligopolist !elieves that competitors will match price cuts !ut not price rises *' -he oligopolist !elieves that competitors will match price increases !ut not output increases

33 3+

Aame theor# studies interdependent decision-ma"ing A' (' -:'1 H $(1

-he Drisoners. ;ilemma Aame demonstrates that A' (' )' *' pla#ers are !etter off to act independentl# monopol# is !etter than competition people will alwa#s cheat pla#ers are !etter off if the# co-operate

3,

+n 2ash e,uili!rium each pla#er chooses the !est strateg# __________ A' (' )' *' assuming other pla#ers move first dominated !# the other pla#ers given the strategies of other pla#ers that is a credi!le threat

3-

dominant strateg# is ____________ A' (' )' *' a winning strateg# a losing strateg# a pla#ers !est strateg# when moving first a pla#er.s !est strateg# whatever the strategies adopted !# rivals

3.

(trategic entr# !arriers are made !# nature A' (' -:'1 H $(1