BUSI W5 DB Post Managerial Economics

Order Description
Overview
This week analyzes how price and output are determined under oligopoly. It covers the Cournot model, the kinked demand curve model, cartel arrangement, and Porter?s strategic framework. It also discusses firm architecture in a globalizing world as well as it deals with strategic behavior, dominant strategy, the Nash equilibrium, the prisoners? dilemma, and other decision-making games.

Learning Outcomes
Upon successful completion of this module, you will be able to:

? Understand the interrelationship among firms in the oligopoly market.
? Understand various models that explain the oligopoly market.
? Apply game theory in decision-making.

In 550-word count, answer the following questions:
1. A market has only 2 sellers. They are both trying to decide on a pricing strategy. If both firms charge a high price, then each firm will experience a 5% increase in profits. If both firms charge a low price, then each firm will experience a 3% increase in profits. If Firm 1 charges a high price and Firm 2 charges a low price, then Firm 1 will experience a 1% increase in profits and Firm 2 will experience a 6% increase in profits. If Firm 2 charges a high price and Firm 1 charges a low price, then Firm 2 will experience a 2% increase in profits and Firm 1 will experience a 7% increase in profits.
? Construct a payoff matrix for this game.
? Determine whether each firm has a dominant strategy and, if it does, identify the strategy.
? Determine the optimal strategy for each firm.
? Determine the Nash equilibrium. (v) Is this a prisoners? dilemma? How do you know?
2. Respond to the charge that immigrants flood the labor market and drive down wages in the U.S.
Additional information:
? “When a foreigner resides among you in your land, do not mistreat them. The foreigner residing among you must be treated as your native-born. Love them as yourself, for you were foreigners in Egypt. I am the LORD your God” (Leviticus 19:33?34, NIV).
? “There is no evidence that over time, immigrants reduced wages, lowered the living standards of the resident population or raised unemployment rates.” ? John Stapleford, Bulls, Bears, and Golden Calves. IVP Academic (p. 227)

The paper must fully meet the following:

? The prompt must fully addressed/answered in the thread.
? The thread is at least 550 words (excluding the title and references pages)
? References at least three peer-reviewed sources (published with the last four years) and one biblical integration
? Provide integration of a biblical concept that supports the paper. Biblical integration is more than just quoting a verse. Be sure to explain the biblical principle seen in the verse and how that principle may be applied to the issue at hand.
? The Bible, NIV, KJV, and NKJV are all acceptable for use in this order.
? All sources are cited in current APA format.
? Proper spelling and grammar are used.
? Sentences are complete, clear, and concise

Order from us and get better grades. We are the service you have been looking for.