Economics 101, UCLA
Fall 2010
Jernej Copic
Essay questions for final exam. 12/2/10.
In each of the following questions provide a short and precise answer. Give the answer
in a paragraph form. When asked, provide appropriate examples. Otherwise, you may also
give your answer using an example.
In the final exam, the essay question will be chosen
from one of these 14 questions, so if you can answer all 14 questions you should be fine. A
complete answer on the final exam will yield 5 points.
1. Describe the difference between Pareto Efficiency (PE) and Equilibrium (Eq).
2. Give examples of situations (games or other): (i) that are PE and not Eq, PE and Eq,
and a situation where there are both kinds of equilibria - PE and not PE.
3. Describe what is a strategy in a simultaneous game and in a sequential game.
4. In an alternating-offers bargaining game with 2 possible rounds (one offer of player 1
and one offer of player 2), how does player 1 determine his offer?
Explain how the
interest rate affects this.
This
preview
has intentionally blurred sections.
Sign up to view the full version.
This is the end of the preview.
Sign up
to
access the rest of the document.
- Fall '08
- Buddin
- Economics, Game Theory, constant marginal cost, alternating-offers bargaining game
-
Click to edit the document details
