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    Microeconomics Theory with Applications
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    Exam 20: Assymetric Information and Market Behaviour
  5. Question
    A Firm Can Signal Its Commitment to Produce High Quality
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A Firm Can Signal Its Commitment to Produce High Quality

Question 50

Question 50

Multiple Choice

A firm can signal its commitment to produce high quality by:


A) purchasing sunk capital.
B) producing a large quantity.
C) setting a high price.
D) producing high quality goods.

Correct Answer:

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