Question

Kindly provide ans- step by step solutions or explanation

2a. Under a mixed strategy, (a) the players may never reach a Nash equilibrium (b) players obtain lower payoffs than in a pure strategy equilibrium.
 (c) a player chooses among two or more pure strategies according to pre-specified probabilities. (d) players move sequentially.

2b. Consider the graph below representing indifference curves and a budget line. What is the utility maxmizing basket?

a) X     b) W        c) Y   d) Z

2c. The winner’s curse occurs in what type of auctions?

(a) First-price auction.
(b) Common-value auction.

(c) Third-price auction. (d) Second-price auction

2d. To solve the long-run cost-minimization problem, you do the following.

(a) Fix an isoquant, and find the isocost line furthest to the northeast that still intersects the given isoquant.

(b) Fix an isoquant, and find the isocost line furthest to the southwest that still intersects the given isoquant.

(c) Fix an isocost line, and find the isoquant furthest to the southwest that still intersects the given iscocost line.

(d) Fix an isocost line, and find the isoquant furthest to the northeast that still intersects the given iscocost line.

2e. Which of the following would lead to the highest deadweight-loss?

(a) First-degree price discriminating monopolist.    (b) Cournot duopoly    c) Perfect Competition.
 (d) Uniform-pricing monopolist.     (e) Stackelberg duopoly