____ 144. Refer to Table 16-18. If John chooses Drive Straight, what will Paul choose to do and what will Paul's payoff equal? a. Turn, 5 b. Drive Straight, 0 c. Turn, 10 d. Drive Straight, 200 ____ 145. Refer to Table 16-18. What is John's dominant strategy? ____ 146. The Sherman Antitrust Act prohibits price-fixing in the sense that Scenario 16-5 Assume that a local bank sells two services, checking accounts and ATM card services. Mr. Donethat is willing to pay $8 a month for the bank to service his checking account and $2 a month for unlimited use of his ATM card. Ms. Beenthere is willing to pay only $5 for a checking account, but is willing to pay $9 for unlimited use of her ATM card. Assume that the bank can provide each of these services at zero marginal cost.____ 147. Refer to Scenario 16-5. If the bank is unable to use tying, what is the profit-maximizing price to charge for unlimited use of an ATM card? ____ 148. Which government entity is charged with investigating and enforcing antitrust laws? a. The U.S. Justice Department b. The U.S. Commerce Department c. The U.S. Treasury Department d. The Bureau of Alcohol, Tobacco, and Firearms ____ 149. Although the practice of predatory pricing is a common claim in antitrust suits, some economists are skeptical of this argument because they believe ____ 150. A key issue in the Microsoft case involved whether or not the bundling of the Windows operating system with an Internet browser was an example of
Chapters 13, 14, 15 & 16 Review questions Answer SectionMULTIPLE CHOICE
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