Sort each of the items below based on if it is true of network goods or not. True of Network Goods The good with the highest quality always captures the majority of the market. Competition is for the entire market instead of within a market. The utility of one consumer depends on choices of other consumers. Firms that dominate the market for a network good often make it easy for consumers to switch between standards. The anti-trust implications of Goods are usually priced above marginal cost. the network good model are the same as for natural monopolies. Network goods are always high tech. A single standard is often more profitable for all firms than dueling standards. Not True of Network Goods

Sort each of the items below based on if it is true of network goods or not. True of Network Goods The good with the highest quality always captures the majority of the market. Competition is for the entire market instead of within a market. The utility of one consumer depends on choices of other consumers. Firms that dominate the market for a network good often make it easy for consumers to switch between standards. The anti-trust implications of Goods are usually priced above marginal cost. the network good model are the same as for natural monopolies. Network goods are always high tech. A single standard is often more profitable for all firms than dueling standards. Not True of Network Goods

Microeconomic Theory

12th Edition

ISBN:9781337517942

Author:NICHOLSON

Publisher:NICHOLSON

Chapter8: Game Theory

Section: Chapter Questions

Problem 8.11P

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