The Prospect for a Mutually Beneficial Agreement Between a Large

Multiple Choice

The prospect for a mutually beneficial agreement between a large and a small firm is affected by all of the following except:

A) the litigation costs.
B) differences in probability assessments of the two firms.
C) the expected value from litigation by the small firm.
D) the monopoly power enjoyed by the firms in the market.
E) the expected value from litigation by the large firm.