Critical Thinking (Must contain 2+ sentences for full credit)   Explain why point R on the production possibilities frontier below is an inefficient allocation of goods (assuming that the only choices are healthcare and education, and only considering a single period of time). Explain why a society might choose to produce at point R if we assume that there are more than two choices of production and/or multiple time periods are considered?

Consider a small town with only two restaurants: Sue’s Cafe and Joe’s Cafe. Each of them decides how many hours to stay open: many hours or few hours. The game matrix is shown below. The likely outcome for this game is 

The study of oligopoly illustrates the tension between

Suppose the countries of Xania and Plutia share the world supply of water. Suppose that the marginal cost of bottling water is a constant at $4 per gallon, and the demand for water is described by the following demand schedule: Price Quantity $9 100 $8 200 $7 300 $6 400 $5 500 $4 600 $3 700 $2 800 If there were many suppliers of bottled water like there would be in perfect competition, what would be the price and quantity?

In a Nash Equilibrium, each players is satisfied that they chose the best strategy, given the strategy of the other player.

The monopolistically competitive firm has no supply curve. 

Consider a small town with only two restaurants: Sue’s Cafe and Joe’s Cafe. Each of them decides how many hours to stay open: many hours or few hours. The game matrix is shown below. The dominant strategy for Sue is 

Referring to the previous question, which of these situations produces the largest profits for the two firms?

Consider the following monopolistically competitive firm.  Which area would represent the consumer surplus that goes to the consumers who buy from this firm? 

On a scale of 1 to 5, what is an ideal BCS for an animal?