This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: Firms X and Y face the following payoffs in terms of profits, according to which of two prices - a ... (Read 56 times)

Sufayan.ah

  • Hero Member
  • *****
  • Posts: 512
on: May 25, 2020
Firms X and Y face the following payoffs in terms of profits, according to which of two prices - a high price or a low price - that each one charges. Each firm must choose whether to charge the high price or the low price, but does not know what the other will do.

​Firm X: high priceFirm X low price
Firm Y: high priceX: £10m
Y: £8m		X: £13m
Y: £4m
Firm Y: low priceX: £5m
Y: £9m		X: £7m
Y: £6m
In the absence of collusion, which combination of strategies is most likely to occur?
◦ X sets the high price and Y sets the low price.
◦ Both firms set the low price.
◦ Both firms set the high price.
◦ X sets the low price and Y sets the high price.
◦ Any of the four combinations of strategies is likely, depending on what each firm predicts that its rival is most likely to do.
Essential Economics for Business ¦ Sloman, Jones ¦ 5th Edition
Buy Test-Bank


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by Sufayan.ah on May 25, 2020

moormoney

  • Sr. Member
  • ****
  • Posts: 326
Reply #1 on: May 25, 2020
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
Answer Preview
Only 49% of students answer this correctly


Sufayan.ah

  • Member
  • Posts: 512
Reply 2 on: May 25, 2020
YES! Correct, THANKS for helping me on my review

diana chang

  • Member
  • Posts: 288
Reply 3 on: Yesterday
Thanks for the timely response, appreciate it

« previous next »
 

Did you know?

According to the FDA, adverse drug events harmed or killed approximately 1,200,000 people in the United States in the year 2015.

Did you know?

More than one-third of adult Americans are obese. Diseases that kill the largest number of people annually, such as heart disease, cancer, diabetes, stroke, and hypertension, can be attributed to diet.

Did you know?

The average person is easily confused by the terms pharmaceutics and pharmacology, thinking they are one and the same. Whereas pharmaceutics is the science of preparing and dispensing drugs (otherwise known as the science of pharmacy), pharmacology is the study of medications.

Did you know?

Intradermal injections are somewhat difficult to correctly administer because the skin layers are so thin that it is easy to accidentally punch through to the deeper subcutaneous layer.

Did you know?

Always store hazardous household chemicals in their original containers out of reach of children. These include bleach, paint, strippers and products containing turpentine, garden chemicals, oven cleaners, fondue fuels, nail polish, and nail polish remover.

Face Face
Old man face Old man face
The recent mass upheavals in Tunisia, Egypt, Libya, Yemen, and Syria gave political scientists a cha The recent mass upheavals in Tunisia, Egypt, Libya, Yemen, and Syria gave political scientists a cha
Face Development in the Womb Face Development in the Womb
Clear the inguinal catchment area. Face the side of the table at recipient’s waist. Place your ... Clear the inguinal catchment area. Face the side of the table at recipient’s waist. Place your ...
Write equilibrium constant expressions for the following reactions in terms of concentration: Write equilibrium constant expressions for the following reactions in terms of concentration:
Video: Natural Selection, Species Isolation and Real World Example

For a complete list of videos, visit our video library