Question 6Assume Eric and Kenny control all the Oil in the world. They have agreed to divide the worldmarket with Eric selling 1,200 Barrels and Kenny selling 1,400 Barrels. They have found throughexperience that the Demand Curve for Oil has the following values, and the following totalrevenues:EricQuantity2,600 Barrels3,200 Barrels3,400 Barrels4,000 Barrels1,200 Barrels2,000 BarrelsPrice$77.75$56.00$47.75$20.001,400 BarrelsTotal Revenue$202,150$179,200$162,350$ 80,000$93,300 $108,850$95,500$66,850The Missing Value for Kenny is: [Select]KennyIs there a short-term incentive for Kenny to Cheat? [Select]Is there a short-term incentive for Eric to Cheat? [Select]2,000 Barrels$67,200$40,000$112,000?Missing Value?Over the Long-Run are they Likely to Overcome any Hurt Feelings and return to the Agreement? [Select]

In economics, the demand curve represents the relationship between the quantity of a good or service…

The Missing Value for Kenny is: [Select] Is there a short-term incentive for Kenny to Cheat? [Select] Is there a short-term incentive for Eric to Cheat? I Select] Over the Long-Run are they Likely to Overcome any Hurt Feelings and return to the Agreement? [Select]

The Missing Value for Kenny is: [Select] Is there a short-term incentive for Kenny to Cheat? [Select] Is there a short-term incentive for Eric to Cheat? I Select] Over the Long-Run are they Likely to Overcome any Hurt Feelings and return to the Agreement? [Select]

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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